Initiation of Coverage- BMW Delivers a Blow in Europe, But China Woes and Tariffs Loom Large

BMW Group reported a 1.4% year-over-year decline in global deliveries for the first quarter of 2025, dragged down primarily by a sharp 17% drop in sales in China—its lowest quarterly performance in the region since 2020. The automaker delivered 586,149 vehicles globally, with China accounting for 155,195 of them. This decline reflects BMW’s continued struggle in the world’s largest automotive market, where fierce competition from local EV manufacturers such as BYD has significantly dented the market share of traditional European brands.