In a strategic move to align with the growing trend towards electric vehicles (EVs), BMW is joining the ranks of automakers embracing the shift, with expectations of significant sales growth in the electrified sector. Walter Mertl, Chief Financial Officer of BMW, stated during a recent media roundtable that he anticipates the majority of sales growth for the luxury automaker to come from EVs, considering the apparent plateauing of combustion engine sales.
Mertl identified what he believes to be a critical “tipping point” for combustion engines, asserting that it was surpassed in 2023. He pointed to impending gas vehicle bans, such as the 2035 ban agreed upon in European Union nations, as indicators of the changing automotive landscape. According to Mertl, the current sales plateau for combustion cars is expected to persist and then experience a slight decline.
BMW, like many counterparts in the industry, witnessed record EV sales in the previous year, with battery-electric deliveries contributing to a 15 percent sales share across all brands in 2023. Looking ahead, Mertl outlined ambitious plans for the company’s electrified lineup, aiming to increase the sales share to 33 percent by 2026 with the introduction of six EV models under the “Neue Klasse” battery-electric lineup.
Reiterating its broader goals, BMW aims to sell 3 million vehicles by 2030, maintaining a profit margin within the 8 to 10 percent range. CEO Oliver Zipse emphasized the company’s commitment to profitability, assuring that it will remain “at least as profitable” even as it scales up production of its Neue Klasse EVs.
In the United States, BMW, which also oversees Rolls-Royce and MINI, witnessed a remarkable surge in EV sales in 2023, nearly tripling its figures from the previous year. The automaker continues to position itself as a key player in the EV market, with plans to cease combustion engine vehicle production at its Münich, Germany plant in 2026, focusing on manufacturing Neue Klasse EVs. BMW is also set to introduce cylindrical battery cells in its EVs starting in 2025, further solidifying its commitment to innovation and sustainable mobility.
