BMW will invest a total of €3 billion ($3.89 billion) for its range of “i” EV vehicles by the end of this year, according to a report from German newspaper Handelsblatt. The money comes from profits BMW makes in booming markets like China, Handelsblatt wrote, adding that the sum is based on calculations made together with the bank Credit Suisse.
The newspaper estimated that around a third of the group’s 2012 EBIT earnings of €7.6 billion came from sales in China. However, a BMW representative said the number was a “little high” and added that she didn’t know how Handelsblatt and Credit Suisse had arrived at this figure.
BMW is pushing for the launch of its i3 electric city car before the end of this year, as it is aiming to meet stricter emission rules in the European Union, United States and China. The report says BMW’s fleet currently has average emissions of 138 grams per kilometer in the EU, with standards for new cars being set at 95 grams per kilometer by 2020. One effective way to comply with the standards is to make electric cars.
The production version of the BMW i3 will be unveiled at the Frankfurt auto show in September, with launch scheduled for the fourth quarter this year. In early 2014, BMW will also launch the i8 plug-in hybrid sports car. Prices have not been announced yet, but the i8 is expected to cost more than €100,000 ($129,800), according to Ian Robertson, BMW’s sales boss.
As for the i3, even though EV sales have failed to meet targets so far, BMW is optimistic it will earn money with every i3 sold.
By Dan Mihalascu
Story References: Handelsblatt via Autonews
PHOTO GALLERY
