The market share for diesel engines continues to fall. According to numbers published by the European Automobile Manufacturers’ Association (ACEA), cars with diesel engines represented only 11.9% of total deliveries in the European Union last year. In the EU+EFTA+UK region, it was even lower, at 10.4%. Despite the downward trend, BMW isn’t willing to put an expiration date on the oil-burner just yet.
Frank Weber, the man in charge of R&D, told Automotive News that diesel engines still generate demand. Even in 2025, the “oil-burner” is popular enough to warrant keeping this type of engine in the portfolio. He explained that approximately 80% of all X5s sold in Europe are equipped with diesel engines. He recognizes that demand for diesels has decreased significantly in recent years, but it remains a solid choice among European buyers.
BMW wants to fully live up to its “Power of Choice” ethos. However, logic tells us diesel engines will be retired well before gasoline powertrains. Increasingly stricter emissions regulations have already forced many automakers to drop diesel engines, which is one reason why their market share has been declining. Even subcompact cars used to be available in Europe with diesel engines, but they’re basically gone now.
You can still get a diesel engine in BMWs as small as the compact 1 Series or X1 and as big as the full-size 7 Series or X7. However, lest we forget, the Bavarians had that bonkers quad-turbodiesel 3.0-liter engine, which was retired back in 2020. Why? The company cited low demand and high costs to tweak the B57D30S0 to meet stringent emissions legislation.
There have been conflicting reports about keeping the diesel engine alive once Euro 7 regulations arrive. However, Frank Weber’s latest statement suggests that diesels will stick around in the years to come. This is not a big surprise since the Euro 7 standard will be more relaxed than the initial proposal. That said, we believe that sooner or later, diesel’s market share will be too small for BMW to invest in this type of powertrain.