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BMW CEO explains decision to invest in internal-combustion engines

"We don't want to write off the combustion engine"

BMW has taken a different approach to electrifying its range than many of its rivals: it builds piston- and battery-powered cars on the same basic architecture and often on the same assembly line. Company boss Oliver Zipse explained the thinking behind this unusual strategy. 

Speaking at an economic forum in Frankfurt, Germany, the CEO noted that "we don't want to write off the combustion engine." BMW notably hasn't announced when it will stop making gasoline- and diesel-burning cars, and that's largely because it realistically points out many of its customers don't want an electric car. Zipse has previously warned policymakers against enforcing bans that would coerce drivers into EVs.

While sales of the brand's electric models have increased, according to German newspaper Frankfurter Allgemeine, sales of piston-powered and hybrid cars dropped "only slightly." The "EVs up to ICE down" ratio isn't proportional, so one electric car sold doesn't necessarily replace one car with an internal combustion engine. Zipse told the forum that many customers would simply keep their gasoline- or diesel-powered car for longer if the entire industry went electric-only. He added that e-fuels should play a role in this debate, too, especially considering there are over 1.2 billion piston-powered cars in the world. It's illogical to assume that these vehicles will disappear from the road overnight.

Ultimately, combustion-powered cars outsell EVs by a wide margin. It's wrong to "badmouth products that are still being offered," Zipse said.

As a side note, BMW doesn't believe the future is electric; not exactly. It's also making large investments in hydrogen technology, both on its own (it has dabbled in the technology for nearly 20 years) and through a partnership with Toyota. Earlier in 2023, it unveiled an experimental SUV called iX5 that's powered by a hydrogen-electric system. It offers over 300 miles of range, and refueling the tanks takes a few minutes.

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