BMW is weighing the addition of range-extending engines to some of its vehicles in China, including the X5 SUV and 7-Series sedan, according to people familiar with the matter. The move would make BMW the first German automaker to embrace technology popularized by Chinese competitors like BYD and Li Auto.

This isn’t innovation. It’s adaptation born of desperation as BMW watches its China sales collapse while local manufacturers eat its lunch with the exact technology it now wants to copy.

German Luxury Meets Chinese Reality

The company may develop range-extender versions of top-end models like the X5 SUV and 7-Series sedan because they’re large enough to incorporate a small engine, according to Bloomberg sources who asked not to be identified as the deliberations are private.

BMW declined to provide specifics but confirmed in a statement that it “continuously analyzes usage patterns, customer needs and market developments and reviews the market potential of various technologies.”

Range-extender cars use a small gasoline engine that acts as an onboard generator to recharge the battery rather than directly powering the wheels. The technology has become increasingly popular in China’s competitive EV market, where consumers favor the extended range without relying on public charging infrastructure.

Chinese Competitors Already Dominate This Space

Chinese automakers have turned range-extender electric vehicles into a competitive weapon. BYD’s Yangwang U8, Aito’s M9, and Li Auto’s L9 all feature the technology and have captured significant market share from traditional luxury brands.

BMW and its German peers are scrambling to revive sales in China after losing massive market share to local manufacturers led by BYD. Range extenders have become standard equipment in China’s largest vehicle segments, and Western automakers are now rushing to adopt them.

The technology is also gaining traction in the United States. Stellantis is preparing a range-extended Ram 1500 REV pickup with targeted range up to 690 miles (1,110 kilometers), while Volkswagen’s Scout brand plans to offer range-extended SUVs there in coming years.

BMW’s China Crisis Deepens

BMW’s consideration of range extenders comes as its China business faces mounting pressure. The German automaker’s sales in China plunged 29.8% in the third quarter of 2024 compared to the same period in 2023.

First-half 2025 sales fell 15.5% to 318,125 vehicles, continuing a downward trajectory that shows no signs of reversing. In October 2025, BMW issued a profit warning specifically citing continued challenges in the Chinese market.

China remains BMW’s largest single market despite the declines, accounting for 29.2% of total deliveries in 2024, down from 32.3% in 2023.

Other Automakers Follow Chinese Playbook

BMW isn’t alone in embracing range-extender technology. Renault CEO François Provost told media at the recent Twingo launch that “for middle to bigger sized cars it makes no sense to force all-electric models. We need to think about clients, and range extenders are a good solution.”

Renault is considering range extenders for its next-generation Megane and Scenic models, expected around 2028. The French automaker’s joint venture with Geely, Horse Powertrain, recently showcased a compact range-extender system specifically designed to retrofit existing EV platforms.

Volkswagen is also adapting its Scalable Systems Platform to accommodate range-extending engines, signaling that major European manufacturers view the technology as essential for competing in markets where charging infrastructure remains limited.

BMW Already Announced Range-Extender Plans

The Bloomberg report comes six months after BMW already announced plans to revive range-extender technology with the iX5 SUV by 2026. That vehicle targets 621 miles (1,000 kilometers) of total range using a small engine as generator.

BMW previously offered range-extender technology in its i3 city car until discontinuing the model in 2019. The company dismissed the technology’s future at that time, making the current pivot particularly striking.

BMW already makes necessary components in-house, including efficient small engines and gearboxes, which would reduce the cost of introducing range-extender technology, according to the Bloomberg sources.

EVXL’s Take

Let’s be brutally honest about what’s happening here: BMW is copying Chinese manufacturers’ homework while its China business burns.

We’ve been tracking this story for over a year. When we reported on German auto giants facing an existential crisis in October 2024, BMW’s China sales were already in freefall. By June 2025, when BMW announced the iX5 Rex range extender, it was clear the company had abandoned any pretense of pure-EV ideology in favor of whatever technology Chinese consumers actually want.

Now Bloomberg reports BMW is considering range extenders for the X5 and 7-Series specifically for China. But here’s the contradiction: they already announced this technology for the iX5 six months ago. Why leak it again now unless you’re desperately signaling to Chinese dealers and consumers that you’ll do anything to compete?

The technology flow reversal is complete. For decades, German engineering expertise flowed east. BMW taught Chinese joint ventures how to build luxury cars. Now BMW is importing Chinese-pioneered strategies to survive in the world’s largest auto market.

As we covered when Ford CEO Jim Farley warned that China could “put us all out of business,” the threat isn’t hypothetical anymore. It’s playing out in real time as BMW’s sales crater while BYD and Li Auto dominate with the exact technology BMW dismissed five years ago.

The range-extender strategy makes perfect sense for Chinese consumers who want electric driving without charging anxiety. Li Auto built an entire business model around extended-range EVs, and it works. The problem for BMW isn’t the technology choice. It’s that they’re five years late while hemorrhaging market share to competitors who understood their own market better.

What happens next? BMW will likely launch these range-extender models in China within 18-24 months, assuming they can move fast enough. But Chinese automakers aren’t standing still. They’re already on their third-generation range-extender systems while BMW is just getting started.

The broader lesson is clear: legacy automakers can’t dictate terms in China anymore. The market demands what it demands, and if BMW wants to play, it needs to follow Chinese competitors’ lead rather than the other way around.