West Asia conflict fuels 78% jump in BMW India’s EV demand
The conflict in West Asia triggered a 78% surge in demand for electric vehicles (EVs) at BMW India, helping the luxury carmaker post its strongest
The conflict in West Asia triggered a 78% surge in demand for electric vehicles (EVs) at BMW India, helping the luxury carmaker post its strongest first-half performance with sales rising 17% year-on-year. Between January and June this year, BMW Group India sold 9,075 cars, including 2,359 electric vehicles. The company also retained a 69% share of India’s luxury EV market. “The conflict in West Asia prompted many customers who were considering internal combustion engine (ICE) models to switch to EVs.
Since we locally assemble both our petrol and electric models through the CKD (completely knocked down) /SKD (semi knocked down) route, we had the flexibility to quickly shift production and inventory from petrol to electric vehicles in line with demand,” said Hardeep Singh Brar, President & CEO, BMW Group India. EVs now account for 26% of BMW India’s sales, compared with just 6% of the overall passenger vehicle market across all brands in the country.
Fresh bookings for EVs now account for 30% of BMW India’s order book, with waiting periods extending beyond three months. BMW is confident of sustaining its 17% growth momentum through the rest of the year, although it expects currency fluctuations to remain a headwind, contributing to price increases. On the E20 issue, Mr. Brar said BMW’s petrol models are E25-compliant and that “our cars are faring quite well”. However, he stressed that any transition to higher ethanol blends should be backed by clear policy timelines.
He also called for a closer examination of concerns over fuel adulteration amid social media complaints about vehicle performance. “It needs to be investigated whether it is fuel adulteration or E20 [causing damage to vehicles] because, as of now, everyone is shooting in the dark,” he said.
The BriefWire