The decline was particularly sharp for Porsche’s electric Taycan model, which sank 47% overall. Slumping demand for EVs also hurt the company in Europe, where deliveries of battery-powered cars fell 12%, and in the US, where they tumbled by more than 40%.

BMW sales fell in the third quarter, weighed down by weak performance in China and delivery stops due to problems with the integrated braking system (IBS), the German premium carmaker said on Thursday.

The developments, along with slowing growth for electric vehicles in Europe, have contributed to profit warnings from both BMW and Mercedes.

Sluggish demand and stiff competition in China hit third quarter sales at BMW and Mercedes, the German luxury automakers said on Thursday. The German car sector is facing multiple challenges, ranging from high production costs and managing the shift to electric vehicles to falling demand and rising competition from China.

Strong EV sales performance couldn’t prevent BMW’s overall delivery count falling, and China sales are down 30 percent in Q3

BMW ended the third quarter down 6.9 percent, reporting 78,128 deliveries. A faulty integrated brake module affected about 278,000 vehicles, including much of BMW's high-volume crossover lineup. A spokesperson declined to say whether the recall would affect fourth-quarter sales but said vehicles are being produced with a revised part.