Bmw working hard in order to avoid gas-guzzler taxes

Article by Christian A., on August 27, 2010

In hopes of evading gas-guzzler taxes, BMW AG is studying fuel-efficiency improvements, according to Jim O'Donnell, president of BMW of North America.

BMW anticipates that this project will eliminate the gas-guzzler taxes on its high-performance vehicles as early as the launch of their redesigns within the next few years. For instance, a $1,000 gas-guzzler fee is imposed on the 2010 550i GT. 

The 650i convertible incurs a $1,300 tax while the 2010 750i, which has a base price of $82,000, incurs a $1,000 fee. In an interview with Automotive News, O'Donnell said that the company would "like to get away from it across the entire line."

He said that the company will be able to eliminate the tax "with small improvements." When a vehicle fails to achieve the minimum fuel efficiency of 22.5 mpg, the graduated gas-guzzler tax is imposed.

Earlier this year, rival Infiniti was able to move its ne-generation M56 sedan out of gas-guzzler status. Infiniti was able to accomplish this despite raising the horsepower from the previous-generation M sedan, which is a direct rival of the BMW 5 series.

But since BMW is protective of its reputation as a maker of luxury, sporty cars, it remains to be seen just how far it will go to avoid the tax.

BMW's M5, which returns 11 mph city/17 highway, incurs a $3,000 tax. However, this five-liter, V-10-powered sports car is at the heart of BMW's image.

Nonetheless, BMW is making some changes in its product lineup. O'Donnell said that in 2013, BMW will debut a small electric car, dubbed the Megacity Vehicle, in China.

Topics: bmw, united states

If you liked the article, share on:

Comments

Recommended

Volkswagen of America has a nice surprise for potential customers of the new VW Tiguan (2018 model year). The latest iteration of the Tiguan – set to arrive in the...
by - May 25, 2017
Toyota Camry is many things but exciting isn’t one of its frequent descriptions. That’s why throughout the years, Toyota has been stepping up its game for the said model in...
by - May 25, 2017
Volkswagen intends to leave the crowd in awe at the Worthersee Meeting (Wortherseetreffen) – the largest VW and Audi car show in Europe – with its new GTI Worthersee concept. ...
by - May 25, 2017
The much-hyped 2018 Dodge Challenger SRT Demon certainly has attracted a lot of attention, and possibly many potential buyers. Now, here is good news for interested customers: Dodge has finally...
by - May 25, 2017
An RHD (right hand drive) BMW M4 DTM Champion Edition has been listed to be for sale by Romans International, UK’s leading supercar dealership. The first owner of this rare...
by - May 24, 2017
Facebook

Youtube Channel

Tip Us
Do you have a tip for us?
Did you film an important event?
Contact us
Newsletter
Subscribe to our newsletter!
Subscribe
Galleries