BMW Spots An EV Sales Opportunity As Tesla Tumbles

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Last Updated on: 15th March 2025, 11:18 am

BMW Group gave its fans and investors a lot to chew on during its annual conference on March 14. Despite the challenging state of global affairs these days, BMW expects to continue growing its sales this year, including EV sales. The competition will be stiff as other automakers also ramp up their EV offerings, but BMW’s top brass dropped a hint that at least one other competitor will likely be sidelined. Now, who could that be?

The BMW Perspective On The Tesla EV Sales Crash

Of course, nobody in the auto industry wants to come right out and say they are eager to dive into the gaping EV sales hole left by Tesla in Europe and elsewhere around the world. Instead, automakers are letting their EVs do the talking.

Earlier this week, for example, Toyota finally shook off the dust from its hybrid-focused electrification strategy to introduce three new BEVs to European car buyers, going head to head against Tesla in that market for the first time. Toyota included the new C-HR+ compact crossover SUV in the launch, which is the electric version of the successful C-HR ICE vehicle Toyota has been marketing in Europe since 2016.

Coincidence? Maybe. In another indication that the carmaker is pursuing new EV sales opportunities neglected by Tesla, earlier this week, Toyota piled on with the unveiling of a new solar-powered, concept mini-EV for the urban and teen market in Europe, where some jurisdictions allow drivers as young as 14 to get behind the wheel. In contrast, the appeal of Tesla has been largely manifested by mature drivers with deep pockets.

Now here comes another diversified legacy automaker, BMW Group, with the goal of leveraging its brand reputation to capture a bigger slice of the BEV market.

“Several other manufacturers – including some that only produce electric cars – saw a decline in sales,” noted Oliver Zipse, BMW Group Chairman of the Board of Management, in remarks at the conference, referring to Tesla in all but name. Tesla saw its EV sales decline last year compared to 2023.

“But we achieved growth with our all-electric vehicles,” Zipse added with a twist of the knife. “In 2024, BEV sales once again climbed significantly year-on-year – increasing by more than 13 percent.”

BMW Expects A Pretty Good Year For EV Sales

In his remarks, Zipse also repeated the mantra that BMW is committed to pursuing a diversified strategy including ICE, hybrid, and fuel cell vehicles along with BEVs, while underscoring the strength of its BEV lineup.

“Our vehicles with highly efficient combustion engines remain in strong demand worldwide. At the same time, battery-electric vehicles continue to be our main growth driver,” Zipse explained, while noting that BEVs hit 17% of total sales for the company in 2024 overall. Notably, the company’s MINI BEVs racked up a 24% year-on-year sales increase.

“We are targeting further growth in e-mobility in 2025,” Zipse continued. “We will hit two major milestones this year: We will reach the total of more than three million electrified vehicles and over 1.5 million BEVs sold since the launch of the BMW i3 and BMW i8.”

“Our customers can choose between over 15 BEVs across all our brands,” he added, drawing attention to the newly updated BMW iX and its lab-confirmed range of more than 700 kilometers (about 495 miles).

Hold on to your hats. Zipse also confirmed that series production of the iX3 will begin by year’s end at the company’s new factory in Debrecen, Hungary, where pre-series vehicles are already rolling off the assembly line for testing. When fully up and running, the Debrecen plant will be BMW’s first BEV-only manufacturing facility.

Gilding The Green EV Lily

In a press release detailing the company’s sales growth strategy among all vehicle types, BMW also took note of its EV plans for the future, including a new 800-volt battery system deploying round cells, with which it expects to achieve 20% higher energy density, 30% faster charging, and 30% more range — or more. By integrating and wiring the battery cells directly into the housing, BMW also expects to reduce battery costs by 40–50%, to boot.

BMW is among the leading automakers pursuing energy efficiency goals in addition to the climate protection benefits of zero tailpipe emissions. For example, BMW expects that its new zonal architecture will eliminate 600 meters (almost 2,000 feet) of wiring, while reducing weight by 30%.

The company additionally cites new “smart eFuses” that save energy while the EV is parked or charging. All together, the company anticipates that its new, oddly named “Heart of Joy” integrated system will increase efficiency by up to 25%, partly by optimizing the use of regenerative braking.

Fuel Cell Dreams … Still

Between BMW, Toyota, and other automakers, the competition for EV sales in Europe will be running hot, hotter, and hotterer over the coming years. Besides, even if Tesla manages to pick up the pieces of its tattered brand reputation and patch them back together, it is already behind other automakers in the all-important electric truck market, in Europe and elsewhere.

Also, despite the uphill technology climb and a healthy dose of skepticism within the automotive community, both BMW and Toyota are still among those pursuing future EV sales through the hydrogen fuel cell route. Fuel cell critics have plenty to say on the matter, including here on the pages of CleanTechnica. Foolish or not, BMW used the occasion of the March 14 conference to confirm that the company is on track for a production-series hydrogen fuel cell passenger car in 2028, dubbing itself the “first premium manufacturer worldwide to release a series production fuel-cell vehicle.”

Why? How should I know! Go ask BMW. If you can’t get in touch with them, try Toyota. BMW and Toyota have been in cahoots over fuel cells for a number of years, and BMW affirmed the relationship is growing. “Both partners will jointly develop the drive system for passenger cars, which will then be used in a brand-specific way in the two manufacturers’ respective models,” BMW explained.

What do you think, are BMW and Toyota both off their respective rockers? Have they sniffed out an opportunity to boost their EV sales through the fuel cell door, or is it all smoke and mirrors?

Photo (cropped): BMW Group is revving up its EV sales and production engine in Europe and elsewhere around the globe as demand for electric vehicles continues to rise (courtesy of BMW group).