BMW CEO Oliver Zipse warns EU against hasty ban on internal combustion engines

Earlier this week, BMW CEO Oliver Zipse issued a stark warning to the European Union about the potential risks of a hasty move away from internal combustion engine (ICE) cars. As the automotive industry grapples with strict emissions regulations and an accelerated transition to electric vehicles, Zipse’s message was clear: a balanced and pragmatic approach is essential for a sustainable transition. Zipse has pursued a flexible product strategy since taking over in 2015.

Advocacy for low-CO2 fuels

Zipse also stressed that immediate and effective contributions to climate protection are paramount. “The most effective contributions to climate protection are those we can make today: in other words, every tonne of CO2 we can save today – not in the future – counts,” he said. He called for the urgent adoption of low-CO2 fuels such as e-fuels, E25 and HVO100, which can significantly reduce the carbon footprint of the existing fleet of more than 250 million vehicles in the European Union.

Mr Zipse is, however, concerned about the political instrumentalisation of e-fuels in the debate on the ban on combustion engines in 2035. “However, we currently see a significant risk of political instrumentalisation of e-fuels in the debate on the ban on combustion engines from 2035,” said Mr Zipse. “There are currently many indications that the European Commission is trying to find a bogus solution in which the ban on combustion engines would be relaxed simply by ostensibly opening up to e-fuels.”

Essentially, Zipse warned that without a concerted effort to accelerate the deployment of low-CO2 fuels, any relaxation of the combustion engine ban to include e-fuels would be ineffective and could amount to a de facto back-door ban.

Addressing regulatory and business challenges

The BMW boss also spoke about the regulatory and trade challenges facing the auto industry. He criticized the EU’s temporary imposition of additional import duties on Chinese car imports, saying such measures do not strengthen the competitiveness of European manufacturers. “The introduction of additional import duties, such as those recently imposed by the EU, leads us into a dead end – and will ultimately not make European manufacturers more competitive,” he added. “On the contrary, EU tariffs on electric vehicles from China penalize European manufacturers like the BMW Group – because they also produce vehicles in China for the European market.”

Unlike some of its competitors, BMW has not set a deadline for the production of internal combustion vehicles. Despite the Munich-based automaker’s advances with the “new” Neue Klasse platform for future electric models, the versatile CLAR platform will continue to be used on a wide range of internal combustion engine (ICE) and plug-in hybrid (PHEV) models. Experts initially criticized this perceived indecision in BMW’s strategy, but market performance has proven that the flexible approach was the right decision.

In 2026, we will see the new BMW X5 G65, a model built on the CLAR platform. It will be followed by the 3 Series G50, X7 G67, X6 G66 and several M products, all built on the CLAR platform.