Car manufacturers are trapped between a rock and a hard place. You must also urge electric vehicles to increasingly meet strict emission regulations or to risk massive fines in the European Union. However, the electric vehicles are still expensive to produce, mainly because the battery costs are still high. Most of the car manufacturers lose money that a vehicle sells without an incinerated engine. With some exceptions, ice models remain much more profitable than EVs.
However, BMW believes that it has found a way to achieve margin parity between two models in the same segment, an electric and other petrol. The new IX3 is expected to achieve roughly the same profit as the X3. Chief Financial Officer Walter Mertl told Reuters The “Na5” has a real chance of being as profitable as the “G45”. It could happen next year. However, the first full year of the Electric SUV with global availability will be 2027.
This would be an important milestone for BMW, considering that the X3 of the previous generation was its best -selling product in 2024. The IX3 is strengthened by a strong specific leaf, a fresh design and the next generation technology. His attractiveness will once again expand affordable versions among the first 50 XDRIVE versions. An entry-level price 40 SDRIVE price below $ 55,000 has already been confirmed, with an XDRIVE equivalent being on the way.
Mertl believes that the models IX3 and upcoming new class class will be of crucial importance in order to revive sales in China, the largest market of BMW: “We are more than competitive with this product. With the increasing availability of the new class, we will see growth in China again. When I look at our future model range, I’m not worried.”
Nevertheless, when BMW progresses with EVS, it is far from giving up burning engines. CEO Oliver Zipse told Political That the ban on sales of EU for new vehicles with conventional drives 2035 would be a “big mistake”. He argued “We do not do any favors by determining arbitrary future data where all industries have to adapt.”
BMW is the aim of EVS that EVS will make up at least half of its annual sales by 2030, but claims that it is too early to explain an end date for combustion engines. In this sense, the company has invested in its inline-six and V8 engines to meet the Euro 7 standards. The three- and four-cylinder drive lines also remain in the long run. One day the four-pot could even supply a Mercedes with electricity.
The full electrical i3 “Na0” of the next year does not replace the traditional 3 Series sedan. A model of the eighth generation with the code name “G50” starts shortly afterwards. However, the gas -powered car may not survive in the “G51” generation. Instead, BMW reports an i3 tour that is referred to as “Na1”. Nevertheless, the line -up will continue to offer a wide mix of drive strands that do justice to almost all types of customers.
Regardless of whether ICE or EV, all upcoming models will be a class after the largest individual investment in the history of BMW. By the end of 2027, more than 10 billion euros were spent on 40 new or updated cars.
Source: Reuters, politico
