The BMW Group is unveiling a major corporate reorganization dictated by the realities of a changing global market. Presented at the keynote “Capital Market Day 2026” under the leadership of newly appointed CEO Milan Nedeljkovic, the strategic roadmap sets an ambitious long-term goal of returning EBIT margins in the automotive sector to the profitable range of 8 to 10 percent by the beginning of the next decade. To achieve this turnaround in the current conditions, Munich is ruthlessly rationalizing its product portfolio, moving away from low-profit niche segments to extract maximum profitability from every chassis that rolls off the assembly line.
This strict, value-oriented portfolio management means the end of several familiar models as the brand prepares for the next generation of mobility. Following the quiet end of production of the 8 Series late last year and the last Z4 rolling off the production lines in May this year, the list of eliminations expands to include the 2 Series Active Tourer, which will not receive a direct successor when its life cycle ends next year.
Meanwhile, European buyers will witness the transformation of the high-volume compact car segment in 2028 with the arrival of electrification in the segment, led by the all-electric i1 as a spiritual abbreviation of the Neue Klasse architecture, designed to be offered alongside the visually harmonized 1 Series with an internal combustion engine, proving that BMW’s drive for cost efficiency is expressed as much in clever segment transformation as in a reduction in the model range.