Contrast To Mercedes, BMW Is Still Setia To Create Electric Cars At Lower Market Prices

BMW is still loyal to the low-price electric car segmentation (photo: Unsplash)

JAKARTA - BMW BMW Board of Management Oliver Zipse said the automaker would not leave the electric car segmentation at a lower price.

Speaking recently Zipse revealed, during the transition to electrification, although claimed to be a 'premium' producer, BMW will continue to play at lower prices.

"We don't leave a lower market segment. Even if you think of yourself as a premium producer, it's wrong to leave a lower market segment that will be your core business in the future," Zipse said, speaking at an event.

BMW's chief financial officer last week revealed that while sales of electric vehicles are fully expected to double this year from levels 2021, the company expects rising inflation and interest rates to burden incoming orders, particularly in Europe.

Zipse's BMW decision appears to be very contrary to its rival, Mercedes-Benz, which says it dedicates 75 percent of its investment to high-end vehicles.

The statement was made by Mercedes-Benz in July that it would pursue the highest sales segment of C-Class and E "core luxury", while cutting the number of entry-level models.

In October, German automaker BMW AG announced that it would invest $1.7 billion to build an electric vehicle factory in the United States. This is the latest announcement from the giant automaker about their plans to increase EV production in the US.