BMW South Africa has reported a notable dip in its electric vehicle (EV) sales this year, a trend that starkly contrasts with the BMW Group's robust global EV growth. Peter van Binsbergen, CEO of BMW South Africa, confirmed last week at a media engagement in Johannesburg that local EV sales are subdued, primarily due to the discontinuation of the BMW iX3 model, a key volume driver for the brand.

Globally, the BMW Group saw a 13.5% increase in all-electric car sales in 2024, with fully-electric vehicles constituting 17.4% of total vehicle sales. In the first quarter of 2025, the group delivered 109,516 fully-electric BMW, MINI, and Rolls-Royce vehicles worldwide, marking a 32.4% increase, predominantly driven by strong demand in the U.S. and European markets. However, Van Binsbergen stated that South Africa recorded fewer BMW EV sales this year compared to last, attributing the slump directly to the absence of the iX3, which was built on the previous generation X3 platform.

“Last year, we had the iX3 on the old generation X3 platform. This year, we don’t have the iX3 because we’re waiting for the Neue Klasse to come. We’re missing our key volume model,” Van Binsbergen explained. He further noted that the overall EV market in South Africa has remained largely stagnant this year, showing little growth compared to the previous year. The production of the BMW iX3 has ceased as the company prepares for the launch of its next-generation EV model, the Neue Klasse, which is expected to debut later this year and arrive in the South African market by 2026.

The Neue Klasse, German for “new class,” represents BMW’s next significant step in its e-mobility strategy. Unveiled as a concept at IAA Mobility 2023, this new platform will form the foundation for a new generation of BMW electric vehicles, designed to set new benchmarks in electrification and digitization. The technology developed for the Neue Klasse will subsequently cascade down to other products across the BMW range. Van Binsbergen anticipates that the Neue Klasse will be instrumental in driving up BMW’s EV segment in the local market upon its introduction.

In a strategic move to align with global electrification trends, BMW South Africa's Rosslyn plant, which has a 52-year history, has undergone significant investment. Following an R6 billion investment in 2018 for BMW X3 production, a further R4.2 billion was injected in 2024. This latest investment is specifically for gearing up the plant to produce the BMW X3 as a plug-in hybrid for export markets. Van Binsbergen emphasized the importance of this investment for the plant’s future, stating, “It’s an important investment for [the plant’s] future because our export markets are moving towards new energy vehicles and is therefore important that our plant moves with our customers to produce electrified vehicles.” This commitment underscores BMW’s long-term vision for electrified vehicle manufacturing in South Africa.