Zipse says BMW is not leaving lower market segment for electric cars

BMW CEO Oliver Zipse said the premium carmaker would not abandon its lower-priced segment in the transition to electrification.

“We are not leaving the lower market segment. Even if you consider yourself a premium manufacturer, it is wrong to leave the lower market segment — that will be the core of your business in the future,” Zipse said at an event organised by supplier Robert Bosch in Berlin.

This contrasts with the strategy of rival Mercedes-Benz, which said in July it was dedicating 75% of its investments to top-end vehicles and its highest-selling segment of “core luxury” C-Class and E-Class models while cutting the number of entry-level models.

BMW's CFO warned last week that although sales of fully electric vehicles were expected to double this year from 2021 levels, it expected rising inflation and interest rates to weigh on incoming orders, particularly in Europe.