Airbags May Fail in Some BMW Models
BMW has announced a voluntary recall of about 200,000 vehicles because a damaged sensor in the passenger seat may prevent the passenger air bag from deploying.
Affected models include some 2006 3-series and 2004-06 5-series and X3 vehicles.
BMW says owners can continue to drive the vehicles, but they should notify their local BMW dealer and stop using the passenger seat if the air bag warning lamp and the passenger air bag ”on-off” lamp light up simultaneously. Owners of affected models will begin receiving notices in early September with further information.
BMW Raising prices, Will Cancel X7 large SUV
Despite bright spots such as the X6 selling out its first year of production, like most automakers BMW has seen its sales decline recently and is looking to cut costs as raw materials become more expensive. Having already raised the MSRPs on U.S.-bound models in June, now CEO Norbert Reithofer says that as the changing American market forces further policy shifts, the company will implement additional price hikes for this year and the next, as well as cancel development of its X7 large SUV.
Rising costs and reduced sales are hurting automakers around the world, but European brands have also been hit by the declining value of the dollar against the euro. BMW CFO Michael Ganal says that if the current foreign exchange rates persist 2009 will be a “major challenge,” and according to Reithofer the company may cut production of vehicles sold in the U.S. by up to 40,000 units, or move them in other markets. Anticipating even slower sales here over the remainder of 2008, at first BMW’s new price increases will only be in America but could also move to Europe later, depending on each nation’s individual market.
In addition, despite the decent performance of some high-end SUVs, because of rising gas prices and the shift away toward smaller vehicles Reithofer says the Munich automaker is abandoning its X7, an ultra-luxury large SUV meant to compete against Range Rover. This leaves the X6 as BMW’s range-topping SUV, while the automaker’s lineup will instead expand downward when the 1-Series based X1 crossover debuts in 2010. With Minis sold out around the country and a new 7 and 3 Series due in showrooms soon, BMW looks set to rebound once the economy begins improving again. But in the meantime as costs rise and sales get harder to come by, it appears that even this enthusiast favorite will have to cut back to stay afloat.
Source: Automotive News Europe (Subscription required)
bmw looking at another across over due to the success of the X6
BMW’s new X6 was met with confusion when it was first introduced, as many in the media wondered how a vehicle the size of an X5 that only held four people would sell, especially since it cost around $8,000 more than its roomier cousin. As it turned out, the Munich automaker proved everyone wrong, and the X6’s entire first year production run sold out in just a month. Now reports are that BMW is moving full-speed ahead into the CUV market, starting with the development of a new crossover based on their 3 Series wagon — tentatively named the V3.
Just as BMW tried to avoid SUV expectations by calling its X6 a Sports-Activity Coupe, the automaker plans to dub the new V3 a Progressive-Activity Sedan. Spy shots show a vehicle that looks similar to the regular 3 Series, but with a raised suspension reminiscent of an Audi Allroad. A taller roofline also provides the crossover with improved passenger and luggage space, however just like the X6, the V3 will swap out its rear bench for individual bucket seats — meaning the car will only seat four people. Available with either rear-wheel drive or the XDrive system currently found on the X5 and X6, power is expected to come from the same range of engines as the 3 Series, which in Europe means a selection of four-cylinder, incline-six, and diesel options.
According to reports, the V3 is part of BMW’s new strategy to offer CUVs across much of its lineup, and it will soon be joined by a V5 based on the 5 Series platform. Rumors are the V3 will reach showrooms by 2012, though currently there is no word on which versions, if any, will be sold in the U.S. Considering that crossovers are typically thought of as family transport for those who want SUV-space without the gas mileage penalty, creating a CUV that seats fewerpeople than the car it’s based on may seem counterintuitive. Then again, when people expressed the same doubts about the X6, BMW insisted its SAC was aimed at a whole different kind of buyer. Considering how things turned out, betting against the new V3 PAS probably wouldn’t be a good idea.
Source: Auto Express
BMW Researching solar panels to reduce Fuel costs
Future car models from German maker BMW could be equipped with roof-mounted solar panels aimed at saving fuel and cutting pollutants. The energy from the sun would be used to top up the car’s battery or else pre-warm liquids in the engine to make cold starts less wearing on mechanical parts and also more fuel-efficient.
The solar panels were showcased on a BMW X5 diesel hybrid SUV (Sports Utility Vehicle) at the Geneva Show earlier this year but there was no word from Munich on when they might be ready for production cars.
According to BMW, a square metre of solar panelling is sufficient to generate enough electrical power to run or charge up onboard systems such as navigation devices and cell phones. It could also be used to pre-warm air-conditioning systems.
BMW Plans to Raise U.S. Car Prices by 1% to Counter Weak Dollar
Bayerische Motoren Werke AG, the world’s largest maker of luxury cars, plans to raise prices in the U.S. by 1 percent because of the weak dollar. The increase for cars such as the X5 sports-utility vehicle and 5-Series luxury sedan will take effect on June 1st.
[Source: Btoomberg]
BMW Working in Internet Access to its IDrive
BMW is gearing up to offer “unrestricted access” to the web as an option in any new 2008 vehicle, but alas, it’s only for European clients at the moment. Of course, BMW’s no stranger to letting bits and pieces of the web into its motorcars.
BMW Working in Next Generation 1 Series
BMW is working on the next-generation 1-series – and our spies have caught the first test mules as they took to the streets around Munich. One of the main changes on the new 1-series will be better packaging, to overcome the claustrophobia rear-seat passengers suffer on today’s model. That’s why this test vehicle appears to have a wider track and changes around the doors.
There’s still some time to wait for the new One; we won’t see it until 2009-2010 at the earliest. That’s when we’ll see the full list of changes for the first time, but the Munich grapevine suggests that we’ll see numerous technical changes on the new 1-series too.
[ Source: Car Magazine]
BMW Working in New Generation of 1 Series
BMW is working on the next-generation 1-series – and our spies have caught the first test mules as they took to the streets around Munich. One of the main changes on the new 1-series will be better packaging, to overcome the claustrophobia rear-seat passengers suffer on today’s model. That’s why this test vehicle appears to have a wider track and changes around the doors.
There’s still some time to wait for the new One; we won’t see it until 2009-2010 at the earliest. That’s when we’ll see the full list of changes for the first time, but the Munich grapevine suggests that we’ll see numerous technical changes on the new 1-series too.
BMW Sales Up 12.5% in April
FRANKFURT: Automaker BMW AG said Wednesday that its April global sales rose 12.5 percent, led by demand in Asia and western Europe, for its namesake sedans and SUVs.
The Munich-based company _ whose brands include BMW, Mini and Rolls-Royce _ sold 133,205 cars worldwide in April, up 12.5 percent from last year when it sold 118,378 cars. For the year to date, the company said it has sold 485,155 cars, up 7.5 percent from last year when it sold 451,3111.
By brand, BMW was the biggest gainer, selling 111,654 cars, up 11.6 percent from the 100,062 it sold last year. That growth was driven by demand for the BMW 1 series, the 5 Series along with the X5 sport-utility vehicle and the 3-Series couple and cabrio.
Mini sales were up 17.5 percent to 21,463 sold compared with 18,264 in April 2007. Sales of Rolls-Royce were up 69.2 percent with 88 sold, compared with 52 in April of last year.
BMW’s biggest markets remained Europe, where sales rose 14.1 percent in April this year compared to the month in 2007, and China, where deliveries rose 11.3 percent to 13,3300 cars sold. In the U.S., BMW’s single biggest market, sales rose 10 percent with 31,448 cars sold.
Shares of BMW were up .11 percent to euro37.17 (US$57.72) in Frankfurt trading.
Bimmer Update 