![]() But the more EVs are sold, the more market share Western companies will lose. This development is not yet reflected so much in the figures due to the remaining 75%, in which many sales can still be generated. ![]() EVs have a 25% market share of new Chinese sales, and, except for Tesla, Western manufacturers play almost no role here. The situation is like this: China is by far the biggest car sales market, about as big as the US and Europe combined. As a result, foreign automakers operating in China will most likely lose significant market share in the coming years. In summary, foreign automakers have dominated China in the past, but Chinese brands are preferred for EVs. I think it´s a must-read for investors in the automobile sector. I recently wrote a detailed article about the changing market in China titled “Power Shift: China’s EV Market, Impact On Western Brands, And Some Trading Ideas”. From this, one can only conclude that BMW’s market share must have dropped. Overall, global car sales are marginally lower in 2022 compared to 2021, while BMW sales are down 4.8%. In China, they even increased from 21M to 23M. This is a worrying development, especially because total sales in Europe have decreased, but not by 7.5%. The Americas fell slightly, and the rest of the world increased by 4.9%. This applies in particular to the two most important markets of Europe and China. This strong increase in electric vehicles should not obscure the fact that the total number of vehicles sold is falling. ![]() The EV segment accounted for about 9% of sales, and the company says the target for 2023 is for EVs to reach 15%. BMW’s business has three segments: Automobiles, Motorcycles, and Financial Services, and the automotive segment accounts for 87 percent of total sales. The United States contributed to 18 percent of the total sales last year. BMW 2022 reportĮurope remains the biggest market for BMW, accounting for 37 percent of the total sales. Last year, BMW sold 2.4 million vehicles, but this number has stagnated for several years. It’s one of the global heavyweights in the premium automotive and motorcycle industry, being the seventh-largest German company and the sixth-largest automaker by revenue. The BMW Group ( OTCPK:BMWYY ) unites several brands, such as BMW, MINI, Rolls-Royce, and BMW Motorcycles under its umbrella. At the same time, since a lot of money has to be invested in the electric transition, the current low valuation might not be as low as it seems. In addition, European sales are also falling, and the company itself says it has still benefited from order backlog. One in three of the company’s cars is sold in China, but now 25% of car sales in China are already EVs, and BMW’s market share here is much smaller. Kurmyshov/iStock Editorial via Getty ImagesĪn investment in BMW is too risky, given the changing Chinese market. BMW: Results Look Good But Sold Cars Are Falling (OTCMKTS … – Seeking Alpha
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