EP Insight, October 2025 | BMW: A Steady Road to Electrification

As the classic tortoise and hare story reminds us, it isn’t always the quickest start that wins the race. In the shift toward a low-carbon automotive future, BMW provides a compelling example of how steady, systems-level change can drive meaningful impact over time.

BMW’s portfolio allows customers to choose combustion, hybrid, or fully electric vehicles (EVs), while signaling a clear trajectory toward electrification. BMW’s commitment to transitioning to EVs began over a decade ago with the 2011 launch of its “i” sub-brand, focusing on sustainable mobility solutions. By 2013, BMW introduced the i3, its first mass-produced all-EV. Fast forward to 2024, and 24% of BMW’s sales were electric (including plug-in hybrids),[1] with EV deliveries continuing to grow by 32% in 1Q 2025.[2] With a near-term goal of a 50% EV mix by 2030[3] and annual volumes exceeding 2 million vehicles,[4] BMW is on track to become one of the largest global EV producers. While competitors such as Mercedes, GM, Ford, and VW have made aggressive EV commitments, each currently has a lower EV sales mix (under 20%).[5]

This transition extends beyond the cars themselves. BMW is rethinking how it operates its factories and manages energy, investing in renewable electricity and energy-efficient production across its plants. Sustainability is integrated into day-to-day operations rather than treated as an add-on, reflecting a long-term commitment to a low-carbon business model.

Looking ahead, BMW recently launched the Neue Klasse, its first dedicated EV platform, with several new models planned in the coming years. This platform enables BMW to accentuate the benefits of electrification – from increased interior space and a larger front trunk, to improved electronics integration and screen placement – while competitors like Mercedes have struggled to gain traction with similar strategies. By letting consumer demand and regulatory momentum guide its pace, BMW is positioned to steadily ramp up production while maintaining its systems-level focus. This deliberate approach is translating steady growth into meaningful emissions reductions and is a reminder that in the pursuit of sustainability, slow and steady can indeed win the race.

If you are interested in reading more about corporate work to lower negative environmental impacts, please see other EP Insights from Terra Alpha.

[1] BMW Group Press Release – January 2025
[2] BMW Group: Quarterly Statement to 31 March 2025
[3] BMW Group – Investor Relations Presentation – September 2025
[4] BMW Group’s global automotive deliveries from FY 2007 to FY 2024
[5] TAI Internal calculation based on company Annual Reports
Photo: BMW