The United Kingdom’s bold Zero Emission Vehicle (ZEV) mandate is propelling the nation towards a profound transformation in the automotive industry, positioning it as a frontrunner in the global shift towards electric vehicles. Enshrined in this mandate is the ambitious target that by 2030, 80% of new cars and 70% of new vans sold in Great Britain must be zero-emission, with a further aim of achieving 100% by 2035. The mandate introduces stringent minimum annual targets for zero-emission vehicle production, commencing with the requirement that 22% of new cars sold in 2024 must be zero-emission.
Underpinning this directive are penalties designed to ensure compliance. Automakers falling short of the stipulated targets face fines of £15,000 (approximately $19,000) per car or £9,000 per van. However, the policy incorporates flexibility mechanisms, allowing manufacturers reliant on internal combustion engines to offset their shortfall by purchasing credits from electric-only brands. Moreover, the program incorporates a borrowing provision permitting a 5.5 percent share for battery-electric vehicles, provided manufacturers exceed the minimum requirement in subsequent years.
BMW i4 Emerges as Top Seller in the UK
Recent data from Automotive News Europe indicates that BMW, Mercedes-Benz, and China’s MG are making significant strides towards meeting the 22% target in the United Kingdom. Notably, BMW’s sales of the fully-electric i4 in the UK surged by almost 400% to 896 units in February, affirming its status as a sought-after global product. Alongside the i4, BMW UK boasts an impressive lineup of electric models, including the iX1, iX2, iX3, i5, i7, and iX. Despite this, Tesla reclaimed its leading position in the battery electric vehicle (BEV) market in February, relegating BMW to second place, with MG Motors securing the third spot.
BMW and Tesla: Fierce Competitors in the UK’s EV Segment
In the UK’s burgeoning battery electric vehicle segment, Tesla and BMW have emerged as formidable contenders. While Nissan Leaf and BMW i3 dominated sales until mid-2019, the arrival of the Tesla Model 3 marked a significant shift in this landscape. BMW’s resurgence in late 2021 saw it climb to second place behind Tesla, a position it has maintained since. As of January 2024, BMW momentarily surpassed Tesla in quarterly rankings, underscoring the intense rivalry between these industry giants.
Driving Sustainable Transformation in the Automotive Sector
The ZEV mandate forms a pivotal component of the UK’s comprehensive strategy to decarbonize transportation and foster sustainability within the automotive sector. With an influx of electric vehicles anticipated in 2025, BMW is primed to sustain its momentum towards EV compliance, further solidifying its position as a key player in the electric vehicle revolution.
