BMW Chief Says Europe’s 2035 EV Mandate is “No Longer Realistic”

BMW Chief Says Europe’s 2035 EV Mandate is “No Longer Realistic”

Back in 2022, I reported that Toyota Motor chief Akio Toyoda remains skeptical of moving to only producing electric vehicles (EVs). Toyoda also indicated that most people who work in the auto industry agree with him.

“People involved in the auto industry are largely a silent majority,” Toyoda said. “That silent majority is wondering whether EVs are really OK to have as a single option. But they think it’s the trend so they can’t speak out loudly.”

Now BMW’s CEO Oliver Zipse argues that Europe’s 2035 ban on internal combustion engines (ICE) is unrealistic and could increase reliance on Chinese batteries.

BMW wants Europe to relax its plan to ban new petrol and diesel-powered cars from 2035 onward, in an effort to reduce the region’s reliance on batteries from China. While many automakers have fully embraced electrification, BMW is opting for a more diversified strategy.

In addition to battery electric vehicles (BEVs), the company is investing in alternative technologies such as e-fuels and hydrogen fuel cells, betting that the future of mobility won’t be driven by batteries alone.

At the this month’s Paris Auto Show, BMW’s CEO, Oliver Zipse, made it clear that Europe needs a new regulatory approach, one that leverages its own strengths in technology and doesn’t hinge so heavily on battery imports.

“A correction of the 100% BEV target for 2035 as part of a comprehensive CO2-reduction package would also afford European OEMs less reliance on China for batteries,” Zipse said according to Auto News. “To maintain the successful course, a strictly technology-agnostic path within the policy framework is essential.”

Using the word “agnostic” is telling. It means that more and more people are coming to the realization “climate crisis” and anti-carbon-dioxide policies are being driven not by science, but with quasi-religious fervor.

We have written several posts over the last two years chronicling the decline and fall of the electric vehicle empire. Some “highlights”

Automakers and car dealers have regrets:

• Hertz Selling 20,000 Electric Vehicles for Gas-Powered Cars
• Nearly 4,000 Car Dealerships Beg Biden to Pull the Plug on ‘Unrealistic’ EV Mandates

There are specific challenges EVs face under extreme weather conditions:

• After Hurricane Ian’s Floods, Florida Battling Fires from Water-Damaged Electric Vehicles
• Deep Freeze in Illinois Strands Tesla, Electric Vehicle Owners in Parking Lots
• EVs Burst Into Flames After Contact With Saltwater During Hurricane Idalia

There are significant supply chain issues:

• Democrats Begin to Regret Relying on China for Trade in Green Energy Components
• China Tightens Exports on Graphite, a Key Component of EV Batteries

There are also reports that EV drivers are experiencing “range anxiety,” and short trips have doubled or more in time due to charging times.  Many people seem less trusting of “The Science” and are now climate-crisis-questioning. This may, in part, explain why I reported there was a noticeable slowdown in EV sales a few months ago.

It is good to see another CEO from the auto industry begin to challenge these mandates, as the technology and infrastructure just aren’t there to meet them.

And I find it fascinating that China is a key supplier of the batteries for these vehicles.

…BMW Group’s head honcho says the upcoming ban will only force Europe to rely even more on Chinese batteries for making electric vehicles–the vehicle category expected to almost completely replace combustion vehicles after 2035.

It’s worth noting that the EU regulation doesn’t ban gas or diesel vehicles outright, but rather forces automakers to come up with vehicles that don’t emit carbon dioxide into the atmosphere. Fuel-cell vehicles and even e-fuel-powered cars will be allowed, but the infrastructure for these is extremely limited, as opposed to the EV charging infrastructure that is growing at a rapid pace.

Zipse said the mood in Europe was “trending towards one of pessimism” and that the region needed a new regulatory framework to remain competitive. The ban “could also threaten the European automotive industry in its heart,” he added. The regulation will “with today’s assumptions lead to a massive shrinking of the industry as a whole.”

Meanwhile, China is the largest producer of carbon dioxide. Not that I mind, given that I view the gas as life-essential and we are in a CO2 deficit.  But if China isn’t worried about its CO2 footprint so very much, why are the Europeans…especially as the Chinese are the ones who will primarily benefit from the current mandate.

Hopefully, European representatives will listen to the BMW CEO and rethink their policies. If they don’t, perhaps I will be reporting on even more European protests.

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