Investor Relations.

+++ Recycling tools at plants in Germany and Austria saves seven tonnes of tungsten per year +++ Lowers energy consumption by 70% and CO₂ emissions by more than 60% compared to primary tungsten +++ Wendt: “We will significantly increase the percentage of recycled raw materials by 2030 and use raw materials multiple times in a circular economy” +++

Munich. The BMW Group is making raw materials considered to be so-called conflict minerals a special focus of its sustainability strategy. This includes ores where mining or trading is often associated with violations of environmental and social standards. Tungsten is an example of this: Once considered an irritating by-product of tin mining, since it “ate up” the tin ore, it took a few hundred years for carbide’s unique properties to be recognised: heavy like gold, hard as a diamond and dozens of times more heat-resistant than iron. Today, it can be found in the vibration alarm of mobile phones and light bulb filaments, as well as drill and milling bits for industrial machinery used in producing cars.

Munich. Based on the progress of the proceedings, BMW AG expects, compared with the statement of objections of 5 April 2019, that the EU Commission will significantly reduce its allegations against BMW AG in terms of content and duration.

The subject matter of the proceedings is whether German automobile manufacturers cooperated in technical working groups to restrict competition in the development and rollout of emission-reduction technologies. The legal conformity of diesel vehicles is not subject of the proceedings. The BMW Group is not and has not been accused of unlawful manipulation of emission control systems.

On 5 April 2019, BMW AG had recognised a provision of around €1.4 billion. Based on the new information, BMW AG continues to consider it more likely than not that the EU Commission will issue a fine to BMW AG. However, the significant limitation in the scope of the allegations has led to a revaluation of the provision. This revaluation will result in a positive effect on earnings of around €1 billion in the second quarter of 2021.

+++ 22-inch tyres using certified sustainable natural rubber and rayon, a wood-based material used to strengthen the tyres +++ Plantations certified to standards of independent Forest Stewardship CouncilTM (FSCTM) organisation +++ Wendt: “We are helping preserve biodiversity and forests to counteract climate change” +++

Munich. The BMW Group is stepping up its activities in the field of sustainability, becoming the first automotive manufacturer worldwide to equip its cars with tyres using certified sustainable natural rubber and rayon, a wood-based material used to strengthen the tyres. The company will source 22-inch tyres in the first instance exclusively from Pirelli and, from August of this year, will use them in the BMW X5 xDrive45e Plug-in-Hybrid (fuel consumption combined: 1.7-1.2 l/100km (WLTP), 2.1-1.6 l/100 km (NEDC); power consumption combined: 27.7-24.3 kWh/100 km (WLTP), 25.2-23.5 kWh/100 km (NEDC); CO2 emissions combined: 39-27 g/km (WLTP), 47-37 g/km (NEDC)). Certification of the rubber plantations and the complex supply chain for natural rubber and rayon takes place in accordance with the strict standards of the independent Forest Stewardship Council (FSC).

“As a premium manufacturer, we aspire to lead the way in sustainability and take responsibility,” said Dr Andreas Wendt, member of the Board of Management of BMW AG responsible for Purchasing and Supplier Network. “We have been committed to improving cultivation of natural rubber and increasing transparency in the supplier network since 2015. The use of tyres made of certified natural rubber is a pioneering achievement for our industry. In this way, we are helping preserve biodiversity and forests to counteract climate change.”