BMW CEO: EU 2035 Combustion Ban Is a "Major Mistake"

According to foreign media reports, BMW CEO Oliver Zipse recently stated in an interview with Politico that the EU's plan to phase out internal combustion engine vehicles by 2035 is a "major mistake." He advocates for adopting an emissions accounting system that covers the entire vehicle supply chain to replace the current policy.

In the interview, Zipse pointed out that setting a fixed date for the transformation of the automotive industry may overlook the actual carbon emissions in various segments of the automotive value chain, including those generated during battery manufacturing and energy sourcing.

Oliver Zipse; Image Source: BMW Group

He urged EU regulators to allow the use of green fuels after 2035 and stated that fuel producers must also bear responsibility. Zipser said in an interview, "Setting a mandatory final deadline requiring all industries to complete the transition on time does not benefit us. The absurdity of the current rules is that fuel producers like Shell and BP are not required to meet any emission reduction targets."

When discussing the company's sales targets, Zipse stated that despite challenges faced by the European automotive industry such as higher tariffs from the United States, weak market demand, and competition from Chinese car manufacturers, BMW is still expected to sell over 2.5 million vehicles in 2025. He said, "As of August this year, our sales have already surpassed last year's," and noted that growth in the European market is particularly significant.

Coincidentally, in early August, Ola Kaellenius, CEO of Mercedes-Benz Group, a competitor of BMW, also criticized the EU's plan to ban fuel vehicles during a media interview. Kaellenius stated, "We need to face reality. Otherwise, we will head towards a dead end." He also said that if the ban is implemented, the European car market could "collapse."

Kaellenius said, "Of course, we must achieve decarbonization, but this must be done in a technologically neutral way, and at the same time, we cannot ignore our own economic situation."

The European Union's 2035 ban on fuel vehicles will face a critical review in the second half of 2025. Supporters argue that it is crucial for Europe to achieve its green transition goals, while opponents claim it will exacerbate the challenges faced by the European automotive industry, which is already dealing with shrinking demand, competition from Chinese car manufacturers, and electric vehicle market growth falling short of expectations.