BMW has revealed it’s passed the tipping point for ICE (internal combustion engine) cars and now generates most of its sales growth from EVs.
The comments came from the car firm’s chief financial officer in a media round table recently, reported Reuters.
‘The tipping point for the combustion engine is already there,’ Walter Mertl told journalists, adding that BMW had passed the important moment last year.
‘The current sales plateau for combustion cars will continue and then fall slightly,’ he explained, saying that forthcoming environmental rules that will restrict sales of petrol and diesel cars.
The German car giant reached a 15% all-electric sales share in 2023, and has big plans to raise that to 33% in just three years.
It believes its new range of EVs, launched under the umbrella ‘Neue Klasse’ philosophy, will be the key to this.
‘Neue Klasse’ is a multi-billion-euro plan which involves new EVs based on a new platform and new ideas to help BMW overtake competitors in the electric car market.
However, Mertl said that BMW’s margins for ICEs and EVs won’t reach parity before at least 2026, due to higher production and new battery costs for EVs.
BMW is aiming for a target of three million vehicles sold by 2030 with an 8-10% margin.
BMW’s future EV rollout was hinted at with the Vision Neue Class concept car, revealed at last year’s Munich motor show, pictured top.
The production version, a 3 Series-sized saloon, will be one on a raft of new electric cars from launched from 2025 and over a two-year period.