At the IAA Mobility show in Munich, global car manufacturers reveal new electric models, from BMW’s premium iX3 to Volkswagen’s budget-friendly ID.CROSS, highlighting rapid innovation and strategic shifts in the electrification race amid geopolitical and market pressures.

At the IAA Mobility show held in Munich, the car industry’s top manufacturers rolled out a pretty wide array of new electric vehicles—EVs—each one seemingly eager to attract consumers in this period of rapid electrification. You could say the event was packed with major launches from global giants like BMW, Volkswagen, Mercedes-Benz, Hyundai, Skoda, Polestar, and also some emerging players such as BYD and Leapmotor. This really highlighted how fierce competition and ongoing innovation are thriving both in the luxury segment and among more affordable EVs.

BMW, for instance, introduced its Neue Klasse iX3 electric SUV, a key model aimed at clawing back some of its market share—especially in China, where the competition has gotten pretty intense. The iX3 is positioned as a flagship for BMW’s new electric architecture, promising over 800 km of driving range and super-fast charging that can add more than 370 km in just ten minutes. Production is expected to commence by the end of 2025, with a European launch set for March 2026. The starting price will hover around €68,900 (£59,000), which is a premium but still competitive move, trying to keep profitability at about the same level as traditional combustion cars by 2026—at least, that’s what BMW’s CFO Walter Mertl has said. BMW’s sales boss, Jochen Goller, stressed that they’re keeping a close eye on how pricing plays out in China, especially since the iX3’s pricing strategy there will be crucial after a 15.5% dip in sales during the first half of 2025. The iX3 sports a 74 kWh battery, providing roughly 285 miles on real-world roads, with a max charging rate of 150 kW—that positions it quite comfortably in the mid-range electric SUV market.

Volkswagen, on their end, debuted the ID.CROSS, a compact electric SUV concept that’s now finalized for production in summer 2026. They’re aiming the model at budget-conscious buyers with a price forecast of about €28,000 to €30,000 (£24,000–£26,000). This model clearly mirrors Volkswagen’s broader plan to regain ground in the affordable EV space—especially against Chinese manufacturers offering cheaper alternatives. It’ll be produced alongside other budget-friendly models, like the ID.Polo hatchback and Cupra variants, at their plants in Spain. This comes after quite a hefty €10 billion investment into production and battery facilities there. CEO Oliver Blume pointed out that global competition, pricing pressures from China, and US tariffs are all impacting premium brands within the group. To stay competitive, Volkswagen’s planning around 60 new models through 2025, and they’re also restructuring the business with some job cuts and capacity shifts, all aimed at better cost efficiency.

Mercedes-Benz isn’t falling behind either. They announced plans to launch the GLC fitted with their EQ electric tech around mid-2026, signaling their ongoing push to electrify their popular SUV line-up to meet the rising demand for luxury EVs. Meanwhile, Hyundai threw a new concept into the mix: the Concept THREE, a compact EV under its IONIQ sub-brand, which aims to showcase the next wave of design and innovation for future electric vehicles.

Skoda and Polestar also made some noteworthy appearances. Skoda rolled out the Epiq, a five-seater SUV with a 264-mile battery range, plus the Vision O concept, hinting at how their electric design language might look going forward. And Polestar has opened orders on the Polestar 5, which is a pretty unique luxury electric sedan—so much so that it deliberately skips traditional features like a rear window and glove box, highlighting Polestar’s avant-garde approach to EV design.

Other interesting bits included China’s BYD previewing its SEAL 6 DM-i TOURING Super Hybrid—set to be manufactured at their new Hungarian plant—and Leapmotor’s B05, along with Changan’s AVATR 07. The latter, by the way, was described by the company’s CEO as a “statement” of their ambitions, and features a UFO-inspired frontend that certainly grabs your attention.

This entire wave of launches at IAA Mobility 2025 shows how, from the well-known European brands to rising Asian newcomers, everyone is stepping up their efforts to broaden their electric vehicle lineup. The focus isn’t just on luxury EVs with long ranges and quick-charging capabilities—like BMW’s iX3—but also includes more accessible, mass-market options like Volkswagen’s ID.CROSS and Polo models. Additionally, the landscape is being shaped by geopolitical factors—trade tariffs, shifts in regional demand, and strategic moves to localize production and sourcing of batteries—all aimed at reducing costs and making supply chains more resilient.

For folks working in the industry—OEMs, distributors, logistics teams, and repair shops—this relentless move toward electrification means they need to adapt at every level. New electric platforms bring their own service challenges, parts supply issues, and training needs, while supply chain players must get ready for changing production locations and evolving customer demand. The influx of new models and tech showcased at IAA Mobility really underlines the opportunities, as well as the competitive pressures, that will shape the aftermarket’s future in our increasingly electrified automotive world.

Source: Noah Wire Services