BMW bets on India with latest 3 Series sedan, prices start at Rs 41.5 lakh

Current Affairs

Just three weeks after taking over, BMW Group India’s new Chief Executive Officer (CEO) and President Rudratej Singh launched the seventh generation model of the company’s latest 3 Series sedan.
The car generates around a third of its annual sales and is the company’s flagship product. Available in three variants across diesel and petrol engines, the ex-showroom prices of the sedan start at Rs 41,50,000 and go up to Rs 48,00,000. In 2009, the 3 Series range was launched at an ex-show room price of Rs 24,00,000 to Rs 25,00,000. Singh says he doesn’t expect duties to come down anytime soon. Also, BMW does not see the current downturn in the auto segment impacting its plans in any way.
So, is this the best time to launch an expensive car? Singh thinks it is, because new cars like the 3 Series will be even costlier in March 2020 when BSVI norms kick in. “We are committed to this market for the long term, and understand that for growth in India, there will be short-term hiccups,” he said.
The automobile manufacturer is also looking to expand distribution by opening three new dealerships in the coming months.According to analysts, the steep jump in prices have been a result of high customs duty, excise, goods and services tax (GST), as well as price increases by manufacturers on the back of input costs of steel and rubber, among others.
According to recent reports, luxury or premium car sales for European manufacturers have actually slowed down over the years with the entire segment not growing beyond 40,000 units for car makers that include Jaguar-Land Rover, Audi, BMW and Mercedes-Benz.

Even with cars being assembled in local plants as is the case with BMW and others, prices have been far higher than in other markets...Read More

BMW to recall 360,000 cars in China over Takata airbags

Company News

Germany's BMW will recall 360,000 vehicles in China as part of the worldwide effort to root out defective airbags made by now-defunct Japanese supplier Takata, regulators in Beijing said.

Around 20 people have died in accidents linked to defects in Takata airbags since 2013, prompting a massive worldwide recall of at least 100 million cars from a wide range of manufacturers.
The recall will affect nearly 273,000 models built by BMW's joint venture with Chinese manufacturer Brilliance Automotive and more than 87,000 imported BMW cars, China's State Administration for Market Regulation said.

The agency said in statement posted on its website late Tuesday that a defect could cause the airbags to eject debris at passengers if deployed.

It did not mention any specific incidents caused by the BMW-installed airbags.

The China recall affects more than two dozen different BMW models built between 2000 and 2018, including several each in the i, X and M series, along with other models.

The suspect parts will be replaced for free, the notice said.Founded in 1933, Takata went out of business in 2017 because of the airbag crisis.The BMW announcement came as global carmakers were gathered for the Shanghai Auto Show amid a rare sales slump in the world's largest vehicle market.


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