Ferrari’s new $873,000 stick shift is stuck in the ‘past’

MARANELLO, Italy – After critics panned the insipid exterior of its first electric vehicle (EV), the four-door Luce, Ferrari is enjoying an easier ride with its latest model, which could hardly be more different. The prancing horse shouldn’t get too comfortable, though. 

The limited-edition 12Cilindri Manuale grand tourer is its first new car in more than a decade to feature a gear lever and clutch pedal. All 1,499 of these front-engined two-seaters have already been allocated to loyal clients, with shipments beginning in 2027. Prices start at €590,000 (S$873,000), with customisation likely adding another six figures.

It shows Ferrari’s unique pricing power hasn’t been harmed by its Luce misadventure. Nor has the Italian firm forgotten how to satisfy motoring enthusiasts, many of whom yearn to heel-and-toe downshift through a turn and are nostalgic about changing gear with a reassuring metallic “clink”.

This retro offering won’t, though, settle the debate about whether Ferrari can retain its luxury appeal once EVs displace V12s and consign manual gearboxes to museums.  

Ferrari’s enviable business model revolves around clients acquiring multiple cars. Special editions, which tend to hold their value, or even appreciate, are an important part of the mix. (Rare manual versions of past Ferraris such as the 599 GTB Fiorano are also highly sought-after by collectors, so the 12Cilindri Manuale is really hitting a sweet spot.)

In 2025, some 84 per cent of new Ferraris were purchased by customers who already owned at least one of its cars, and more than half by clients who owned several.

The 12Cilindri Manuale is nearly 50 per cent more expensive than the regular coupe. Ferrari told me this premium includes other elements such as forged alloy wheels, plus inclusion in its Tailor Made programme, which offers a personal designer to assist with an extensive list of customisations. Nevertheless, it’s a whopping sum.

Ferrari’s ability to charge nosebleed prices has been a big driver of its extraordinary profitability. Average selling prices have increased by around two-thirds in the past decade to around €450,000, though increasingly, that has come at the cost of sales volumes, which have plateaued over the last three years. The company is seeking to preserve exclusivity by launching a broad variety of models while producing comparatively few of each. 

Operating margins should be close to a record 31 per cent when the company reports earnings this week, based on estimates compiled by Bloomberg, helped by richly customised V12 Purosangue sport utility vehicles and the €3.6 million F80 supercar. 

Still, while Ferrari remains Europe’s most valuable automaker and the stock has recovered a bit since the Luce low in May, the shares remain far below 2025’s peak amid disappointment that the company’s profit targets aren’t more ambitious.

For now at least, the clamour for the 12Cilindri Manuale and expectations that it will launch other models targeted at devoted petrolheads suggest its earnings can keep growing even if the Luce isn’t a success. 

Mixing modern day tech with nostalgia

After paring back its electrification ambitions in 2025, Ferrari expects 40 per cent of its models will still be powered purely by combustion engines in 2030, while 40 per cent will be hybrids and just 20 per cent electric. Its future, in other words, for now looks quite a lot like its highly profitable past. 

Tapping purists’ yearning for physical controls makes sense when modern cars increasingly resemble cellphones on wheels. Porsche has also retained manual gearboxes in some variants of the 911 sports car. Using steering wheel paddle shifters might be quicker and more precise, but for me, a gated manual is more visceral and fun.

True, Ferrari’s latest arguably isn’t a true manual because the system relies on electronic sensors and software rather than a physical connection. It’s underpinned by a regular eight-speed, dual-clutch transmission.

But so long as the gear shifts feel and sound like the real thing – and Ferrari has gone to great lengths to ensure they do –  I don’t think that matters too much. The car will jolt or stall if driven without sufficient care. And it can be switched into automatic mode if drivers want less distraction.

12Cilindri Manuale buyers were selected in part based on their understanding and appreciation of a more physical driving experience, Ferrari says. To me, that sounds like customers will skew older, to an age group that grew up with manual transmissions, whereas Gen Z are increasingly ignorant of how to drive stick-shift. (Although manuals remain quite popular in Europe, they accounted for less than 1 per cent of cars built for sale in the US in 2025.) 

While Ferrari is clearly adept at capitalising on its rich heritage and pairing innovation with tradition, it mustn’t lose sight of younger high earners, including tech-world beneficiaries of the artificial intelligence boom. The average Ferrari client is in their 50s. 

That’s why the Luce disappointment matters so much – it was an opportunity to appeal to a different demographic for whom a naturally aspirated 6.5-litre V12 might be a turn-off. Although governments on both sides of the Atlantic have cut automakers some slack on their emissions recently, EVs are destined to take over the roads at some point. Try driving your open-top Ferrari in a summer heatwave and you’ll remember why. 

Ferrari’s business model of repeat purchases depends on strong resale values. Yet it’s hard to imagine Ferrari’s first EV holding its value, even if sales volumes are low. Plug-in hybrid range models like the SF90 and 296 have already depreciated quite a lot.

In contrast, recent non-electrified Ferraris have fared much better in the used market. It’s another sign the old Ferrari is in very robust health. The future one still needs to shift up a gear. BLOOMBERG