GermanyBMW said on 30 September that it is considering a new SUV positioned above the X7 for the US market, and that a compact, entry-level electric car on the Neue Klasse platform will go on sale in Europe in 2028. The announcements came in a strategy update that also trims the model range and the management structure.
A larger SUV for the US
BMW describes the SUV as an additional offering above its current top model, the X7, tailored to US demand. The company is only considering it, so no name, powertrain or launch date exists. BMW gives high demand for large SUVs as the reason, and says its Spartanburg plant in South Carolina, which builds the X models, is already running at full capacity.
A small Neue Klasse for Europe
The opposite end of the range gets a fully electric Neue Klasse model aimed at the high-volume entry segment in Europe, due in 2028. BMW has not named it or given dimensions, range or price. It will complement the electric range of Mini, another BMW Group brand.
Fewer models and fewer managers
The model range will get smaller. BMW says there will be no successor to models such as the 2 Series Active Tourer, its compact people carrier. The group will also cut the number of divisions and associated management roles by 20% by mid-2027, with comparable reductions at lower levels.
Margin targets
BMW wants its automotive business back to an EBIT margin of 8-10% by the end of the decade. The interim target for 2028 is 3-5%, so the near-term goal sits well below the long-term one.
