In a notable announcement, BMW’s Chief Financial Officer, Walter Mertl, has signaled a substantial transformation in the company’s sales landscape. Mertl disclosed that the tipping point for combustion engine vehicle sales has been surpassed, underscoring that electric cars now spearhead the majority of the brand’s sales growth.
According to Mertl, the plateau in combustion car sales is expected to persist and gradually decline. He attributed this shift to imminent environmental regulations poised to restrict the sales of traditional vehicles. With regulatory deadlines looming in regions ranging from China and the European Union to specific U.S. states, automakers are under mounting pressure to expedite the development and production of electric vehicles.
In response to these challenges, BMW achieved an impressive 15 percent all-electric sales share in the past year. Notably, the i4 M50 secured its position as BMW M’s best-selling product for the second consecutive year. With an ambitious target of a 33 percent share by 2026, BMW plans to introduce six new models under its Neue Klasse EV lineup, with the first, an X3-sized electric SUV, set to debut in 2025.
However, Mertl acknowledged that BMW’s profit margins for combustion engine and all-electric cars won’t align until at least 2026. He pointed to the higher costs associated with integrating new battery technologies into subsequent models.
Despite the prevailing shift towards electric mobility, BMW remains steadfast in its commitment to offering vehicles with manual transmissions. The company confirmed that the M2, M3, and M4 will continue to provide manual gearboxes, at least for the current generation of cars. When pressed about the percentage of manual gearbox sales, BMW informed TopGear that 15 to 20 percent of M3 and M4 models were sold with three-pedal gearboxes, and even more for the M2.
