BMW XM sales have been underwhelming, and now the base V8 XM with 650 horsepower may be facing the axe. While rumors have circulated that the entire XM lineup could be discontinued by 2028 with no second generation planned, new information suggests that the entry-level XM might be retired as early as summer 2025. This would leave only the six-cylinder XM 50e (European model) and the high-performance XM Label as the remaining variants available for purchase.
Few anticipated the XM would achieve major commercial success. With its steep price and polarizing design, the “G09” faced challenges from the start. Additionally, its performance, which doesn’t surpass that of the more affordable X5 M Competition, posed another drawback. When the plug-in hybrid SUV was launched, BMW projected that the United States would account for 26% of its demand.
Sales Have Not Been Great
The latest U.S. sales figures are in, and they paint a troubling picture for the XM. In the second quarter of 2024, deliveries of the polarizing model plummeted by 29.5%, down to just 537 units from 762 in Q2 2023. Over the first half of this year, shipments have fallen by 7.9%, dropping from 1,171 to 1,078 vehicles. This decline comes despite substantial discounts of up to $17,500.
If the news come true, then the XM Label will be the only US-model on sale starting next year. The Label features a 4.4-liter twin-turbo V8 engine combined with a plug-in hybrid system, delivering an impressive 738 horsepower and 738 lb-ft of torque. This power allows the XM Label to accelerate from 0 to 60 mph in just 3.6 seconds. The vehicle comes with an all-wheel-drive system and an 8-speed automatic transmission.
The XM Label’s starting price is around $185,995, making it significantly more expensive than the base XM, which starts at $159,995. So it seems like the take rate on the XM Label might have been higher therefore it makes sene why BMW would prioritize that model. Aside from the obvious profits.
[Source: bimmerpost]
