BMW’s electric vehicle sales surge, but chip shortage poses challenge

The BMW i4 found during a BMW press celebration in Garching, Bavaria, on September 29, 2021.

Matthias Balk | photo alliance | Getty Photographs

The BMW Group’s income of absolutely electric powered cars grew by 121.4% in the 1st 9 months of 2021, hitting 59,688 units, with the German carmaker stating Wednesday that electric powered mobility was “turning out to be an ever more important growth driver and achievement issue” for the enterprise.

In full, the Munich-headquartered firm sold 231,575 all-electric powered and plug-in hybrid autos concerning January and September, a bounce of 98.9%. By comparison, in the third quarter of 2021 alone, Elon Musk’s Tesla claims it delivered 241,300 cars.

BMW’s electric car figures were contained in an earnings report revealed Wednesday. Web revenue for the 3rd quarter of 2021 amounted to 2.58 billion euros ($2.99 billion), a rise of 42.4%. This was inspite of deliveries in its automotive phase dropping by 12.2% in comparison to the 3rd quarter of 2020.

“In the third quarter 2021, operations were being increasingly impacted by source bottlenecks for semiconductor components,” the corporation explained. “Though this resulted in generation volume shortfalls and lower profits volumes throughout the period from July to September 2021, the effect was extra than offset by positive value consequences for new and pre-owned automobiles.”

Back on the EV front, the BMW Team needs absolutely electrical vehicles to stand for at least 50% of its deliveries by the calendar year 2030.

BMW is just one of numerous very well identified companies pushing an electrification strategy. In March, Volvo Cars explained it planned to develop into a “entirely electric powered vehicle firm” by the year 2030.

Examine additional about electrical vehicles from CNBC Pro

In July, the Volkswagen Group reported 50 % of its gross sales were predicted to be battery-electric powered vehicles by 2030. By the calendar year 2040, the organization reported nearly 100% of its new motor vehicles in important markets must be zero-emission.

This shift to electrical mobility comes at a time when key economies about the planet are attempting to minimize the environmental footprint of transportation.

The U.K., for case in point, wishes to stop the sale of new diesel and gasoline cars and trucks and vans by 2030. It will require, from 2035, all new autos and vans to have zero tailpipe emissions.

In other places, the European Commission, the EU’s govt arm, is targeting a 100% reduction in CO2 emissions from vehicles and vans by 2035.

— CNBC’s Chloe Taylor contributed to this report