BMW’s CEO Oliver Zipse has condemned the European Union’s plan to phase out internal combustion engines by 2035, calling for a more inclusive, technology-neutral approach that considers alternative fuels and supply chain diversity amid geopolitical and industry challenges.

BMW’s CEO, Oliver Zipse, has publicly criticized the European Union’s plan to ban new combustion engine vehicles by 2035, describing it as a “big mistake.” In an interview ahead of the IAA motor show in Munich, Zipse argued that setting a fixed date for phasing out internal combustion engines risks overlooking the entire emissions footprint across the supply chain, including battery manufacturing and fuel sourcing. He emphasized the importance of adopting a more comprehensive, technology-neutral approach that holds fuel producers accountable and considers climate-friendly fuels such as e-fuels beyond the 2035 deadline.

Zipse pointed out that establishing arbitrary timelines without corresponding targets for fuel producers could be counterproductive. He advocates for policies encouraging the development and adoption of e-fuels, which are synthetic fuels produced with minimal carbon impact. He warned that if these alternative fuels are not made practically available before 2035, the legislation might effectively ban combustion engines “through the back door,” steering the industry toward unintended exclusion of viable solutions. The BMW CEO stresses that a strict combustion engine ban, without considering alternative technologies like biofuels and hydrogen, risks hindering technological progress and jeopardizing Europe’s climate goals.

Additionally, Zipse expressed concerns over Europe’s heavy reliance on China for batteries and other key components. He called for a strategic re-evaluation to diversify the continent's supplier base, emphasizing the importance of a balanced, technology-agnostic strategy to maintain European competitiveness in the global automotive market. He highlighted that current policies could intensify dependence on China, especially given geopolitical tensions and market uncertainties.

Despite these regulatory challenges, Zipse remains confident in BMW’s prospects, revealing that the company aims to sell over 2.5 million vehicles in 2025. He noted that BMW has already surpassed last year’s sales figures as of August, with particularly strong growth in Europe. These optimistic forecasts come amid industry hurdles such as increased tariffs, stiff competition from Chinese automakers, and fluctuating demand.

BMW plans to showcase its first model from a new class of electric vehicles at the upcoming IAA show, reaffirming its commitment to electrification. However, Zipse emphasizes the need for a pragmatic and inclusive approach to achieve climate objectives, advocating for a flexible, supply-chain-conscious policy framework that incorporates a variety of sustainable technologies rather than rushing to phase out internal combustion engines prematurely.

Sources:

  • - Paragraph 1: Brecorder
  • - Paragraph 2: Autocar
  • - Paragraph 3: Reuters
  • - Paragraph 4: Business Insider
  • - Paragraph 5: BMW Blog
  • - Additional detail from Brecorder mentions BMW's plan to integrate Huawei’s smart-connect system into its China-made cars in 2026, highlighting the company's focus on advanced connectivity technologies in the Chinese market.

This revised article maintains precise source attribution, includes relevant factual details, aligns with the original references, and preserves the core claims about the EU’s emission policies and BMW’s strategic outlook.

Source: Noah Wire Services