BMW to Launch 10 New Cars in India, Boosts Local Sourcing for Luxury Growth – Whalesbook
German automaker BMW plans an aggressive expansion in India, introducing 10 new models this year, including electric vehicles and MINI brand cars. The company aims to increase local sourcing of parts to reduce costs and make luxury vehicles more accessible in a market where premium cars represent just 1% of total sales. BMW achieved record sales in 2025 and seeks to sustain this momentum.
BMW is set to introduce 10 new vehicles in India this year, signaling a significant push to capture a larger share of the country's nascent luxury automotive market. The expanded portfolio will include electric vehicles (EVs) and models from its popular MINI brand, as the German manufacturer seeks to drive growth beyond the segment's current limited reach. The company's India chief, Hardeep Brar, indicated a strategic shift towards increasing local sourcing of parts to help manage costs.
Despite selling a record 18,000 vehicles in India in 2025, marking a 14% year-over-year increase and narrowing the gap with market leader Mercedes-Benz, BMW acknowledges the luxury segment's constraints. Premium cars constitute only 1% of India's total annual car sales, which exceed 4 million units. High import duties contribute to steep pricing, limiting market expansion. Brar stated the strategy involves not just launching more models but also reducing manufacturing expenses by utilizing more domestically sourced components.
BMW is already seeing traction with its electric offerings, with EVs accounting for 21% of its India sales, a substantial rise from approximately 8% in 2024. The successful local assembly of the iX1 EV, which was competitively priced against gasoline counterparts, boosted clean car sales by 200%. The company is exploring local sourcing for EV components like motors, though these discussions are in early stages. Brar emphasized the critical need for the government to maintain the current 5% tax rate on EVs, contrasting with the 40% or higher rates for gasoline vehicles, to foster continued growth and investment in the electric luxury segment.
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