BMW has a warning against EV-only strategy, Here is why
BMW has a warning for all carmakers planning to go fully-electric soon. At a time when almost every major legacy carmakers have announced their plans to become electric-only entities, BMW feels the EV strategy requires a careful reconsideration. Oliver Zipse, Chief Executive Officer at BMW, said carmakers should avoid becoming too dependent on a few countries by focusing only on electric vehicles. He said that there was still a large market outside these countries for combustion engine cars as well.
"When you look at the technology coming out, the EV push, we must be careful because at the same time, you increase dependency on very few countries," Zipse said during a roundtable in New York. "If someone cannot buy an EV for some reason but needs a car, would you rather propose he continues to drive his old car forever? If you are not selling combustion engines anymore, someone else will," Zipse added.
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BMW has set itself a target of achieving 50 percent of its global sales in electric vehicles by the end of the decade. By 2025, the carmaker aims to have more than two million fully electric vehicles on the road. This year, BMW is planning to put as many as 15 EVs to production this year. The BMW Group expects its annual sales of fully electric vehicles to exceed 1.5 million units by as early as 2030.
In India, BMW has just about started to push its EVs. The carmaker launched its first fully-electric offering iX to the Indian customers. The carmaker will also launch the new i4 later this month. However, in India, BMW is still widely dependent on its ICE models to push sales up.
Zipse had earlier voiced against bans on combustion engine cars to curb carbon emissions and environmental impact. The BMW CEO had said that more fuel-efficient combustion engine cars could still hold key to profit as EV charging infrastructure and high price of electric vehicles remain a deal-breaker in many parts of the world, including in India.