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BMW faces a huge financial challenge to meet tougher CO2 emissions in 2021

Interesting | July 9th, 2014 by 2
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In a recent interview for Automobilwoche, BMW M CEO Norbert Reithofer says BMW will face huge financial challenges to meet tougher CO2 limits that will …

In a recent interview for Automobilwoche, BMW M CEO Norbert Reithofer says BMW will face huge financial challenges to meet tougher CO2 limits that will take effect in 2021 in Europe.

Just last week we reported that BMW aims to cut $5.5 billion in spending.

Reithofer adds that complying with the new regulations will mean a financial effort in billions for the company. He also added that the new family of engines (Bx) will allow BMW to meet the CO2 targets while staying ahead of the competition.

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Since 1995, BMW has reduced their CO2 emissions by more than 30 percent and are now at 133 grams per kilometer. The figure of 100g/km of CO2 corresponds to an average fleet consumption of about 4 liters per 100 kilometers.

Interesting enough is the fact that in 2016 BMW will not only celebrate 100 years of existence, but also it will mark the end of Reithofer’s contract. When specifically asked about this topic, Reithofer elegantly responded:

“We have our Strategy Number ONE, which extends into 2020 and is fine-tuned once a year. The world is turning faster and faster. That is why our leadership team meets once a year at a two-day strategy retreat. We like to invite specialists as well. Once it was a quantum physicist. We wanted him to tell us what was heading our way over the next 20 years, especially in basic research. For example, what changes will quantum computers bring?”

SEE ALSO: Who will be BMW’s next CEO?

At the end of the interview, he also confirmed that the BMW i8 is currently sold out.

“With this car, our customers need to be patient. We had no comparable measure at all in our sales planning. The i8 is a vehicle that — like the Z8 a few years ago — is not designed for large volumes. Instead, we’re talking about a few thousand units.”

Full interview can be found here.

  • CDspeed

    They need to build more electric cars, and I mean real electric cars, not a car that’s somewhat electric with a little gasoline engine to carry around. I’m still interested in what BMW’s meeting with Tesla will result in.

  • Freepat 75014

    They need to make BETTER “Mainstream PHEVs”, especially for me in the X4 like SUV space I’m targetting to replace my beloved but too old 530DA in France. My bet is it will take at least 10 years to deploy Fast Chargers across Europe and the world, and to get the 500M = 160KWH battery, that combined with Fast chargers everywhere could convince me to move to an all Electric main car then, without loosing my vacations freedom, as it is required if I buy a TESLA today. These BETTER PHEV SUVs need to come with optimal 30KWH Battery (As in the very small French AutoLib in Paris today, that cost less than half of BMW SUVs ! And still very small versus today Tesla 85KWH. Should be easy !), and # 150KW electric motor, so the full electric mode with which I’d like to do ALL my 50M/day local commutes, representing # 80% of my yearly mileage, is “comfortable”, w/ real BMW pleasure of driving. Current X5 eDrive is not good enough : Too small/ridiculous <10KWH battery, requiring 2 x full charges per day hence lasting 5 years if good 3000 x cycles one, and too small electric motor < 100KW, means no good Full EV mode, that could allow me do all my local commutes "full electric". BMW must improve it ASAP, and put en improved eDrive version in new superb X4 for me, making it available ASAP in 2015 @ Macan 6 x Cyl ICE like €60K starting price point, including VAT,… or my replacement PHEV SUV won't be a BMW, after 20 years of all new BMW cars for me.

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