Diesel X5 launch and pricing

[blackjd1]

Long time lurker, first time poster.

I too anxiously awaited the diesel news for the NA market. I have to say, with diesel being nearly 1.00 more per gallon right now, there is absolutely no way I can justify a nearly $5,000 premium over the 3.0. They missed the mark on this one.

I sent them a couple of questions during the webcast (1) about the 20" wheel option and (2) whether the NA hitch would be redesigned (the current cut out design is a joke). If they email back, I will post the answers here.

[DSE]

Originally Posted by blackjd1

I too anxiously awaited the diesel news for the NA market. I have to say, with diesel being nearly 1.00 more per gallon right now, there is absolutely no way I can justify a nearly $5,000 premium over the 3.0. They missed the mark on this one.

The pricing is about where I expected it given all the technology associated with new diesel engine, including twin turbos and extensive emissions controls. The torque is amazing. For me is has always been a choice between the diesel and the 4.8 gasoline engine, and it looks like the diesel base price is $3,000 less than the 4.8. (What remains unlcear is what will come standard with the diesel vs. the 4.8.)

As for diesel fuel prices, that is something that BMW obviously can't control, but I do think the gap will eventually close as more diesel refinery capacity comes online (e.g., the new Marathon refinery; but of course no one truly knows what prices will do). But I do not think it wise for BMW sacrifice proft margins and subsidize the diesel versus the gasoline engine to account for fuel prices differences. It wil be interestig to see how the U.S market reacts.

I was impressed with the conference and remain interested (but I'd like to know the answers to your questions as well, plus when it wil be available with the new iDrive).

[rh71]

$5k over 3.0si and $3k under 4.8i... initial reaction is to say it's overpriced but in reality I think they can get away with it given the differences (still not impressed with the 0-60mph difference though). If it weren't for this long wait from January when I was in the market, I would definitely consider this one. Then again I'd have to wait for the new idrive too.

[grover432]

Originally Posted by DSE

For me is has always been a choice between the diesel and the 4.8 gasoline engine, and it looks like the diesel base price is $3,000 less than the 4.8. (What remains unlcear is what will come standard with the diesel vs. the 4.8.)

You raise a good point. We'll have to see what the standard equipment is. For example, in Canada the 3.0si doesn't come with leather. If the 35d does, it would make the diesel option less costly on a comparable basis.

[Craig]

The options for the diesel are the same as the 30i. You won't be able to order active steering on the diesel.

Craig

[LeMansX5]

Today's official press release

BMW 335d AND X5 xDrive35d PRICING ANNOUNCED

The era of BMW Advanced Diesel with BluePerformance begins

Woodcliff Lake, NJ - November 11, 2008... BMW of North America, LLC today announced pricing of the 335d Sedan and X5 xDrive35d Sports Activity Vehicle, the first two BMW Advanced Diesels with BluePerformance. The 335d Sedan will have an MSRP of $44,725, including destination and handling. The X5 xDrive35d SAV will have an MSRP of $52,025, also including destination and handling. BMW Advanced Diesel with BluePerformance represents an important new phase in BMW's EfficientDynamics initiative in the US.

"This is an important launch for BMW," said Jim O'Donnell, President of BMW of North America, LLC. "Both of these vehicles have outstanding fuel efficiency while offering performance that delivers on the promise of the Ultimate Driving Machine. With up to nearly 600 miles of range, these BMW Advanced Diesels will be perfect for the way Americans drive."

Both BMW Advanced Diesels will be eligible for the IRS Alternative Motor Vehicle Credit. Purchasers of the 335d will qualify for a maximum tax credit of $900 while purchasers of the X5 xDrive35d will qualify for a maximum tax credit of $1,550.

The production versions of the BMW 335d Sedan and X5 xDrive35d will make their North American debut next week at the Los Angeles International Auto Show.

BMW Group In America

BMW of North America, LLC has been present in the United States since 1975. Rolls-Royce Motor Cars NA, LLC began distributing vehicles in 2003. The BMW Group in the United States has grown to include marketing, sales, and financial service organizations for the BMW brand of motor vehicles, including motorcycles, the MINI brand, and the Rolls-Royce brand of Motor Cars; DesignworksUSA, an industrial design firm in California; a technology office in Silicon Valley and various other operations throughout the country. BMW Manufacturing Co., LLC in South Carolina is part of BMW Group's global manufacturing network and is the exclusive manufacturing plant for all Z4 models, X5 Sports Activity Vehicles and X6 Sports Activity Coupes. The BMW Group sales organization is represented in the U.S. through networks of 338 BMW passenger car centers, 335 BMW Sports Activity Vehicle centers, 142 BMW motorcycle retailers, 83 MINI passenger car dealers, and 30 Rolls-Royce Motor Car dealers. BMW (US) Holding Corp., the BMW Group's sales headquarters for North, Central and South America, is located in Woodcliff Lake, New Jersey.

[stockguru]

Is the $1500 tax credit in the US final? I haven't seen the news and saw that the mercedes ML320 only got $900. Also, I think the credit is limited to the first xxxx vehicles produced right?

[tim-atl]

Originally Posted by blackjd1

I too anxiously awaited the diesel news for the NA market. I have to say, with diesel being nearly 1.00 more per gallon right now, there is absolutely no way I can justify a nearly $5,000 premium over the 3.0. They missed the mark on this one.

You're right on, although I don't think it's because of the price of Diesel, I simply call BS on the $4K US mark up.

This is not the first time I've waited for something from BMW only to say WTF are they thinking and then buy something from the competition.

Tim

[mwares212]

I do think this $4100 price increase over the gasoline 30i is a bit ridiculous. I was expecting something hovering around $50,000. Mercedes-Benz only charges a $2000 premium over their gasoline ML for their diesel ($47,000 vs. $49,000). It would be interesting to see if the option packaging between the two would offset the price difference.

[mtech8]

Originally Posted by mwares212

I do think this $4100 price increase over the gasoline 30i is a bit ridiculous. I was expecting something hovering around $50,000. Mercedes-Benz only charges a $2000 premium over their gasoline ML for their diesel ($47,000 vs. $49,000). It would be interesting to see if the option packaging between the two would offset the price difference.

But then you have to factor in the twin-turbo into the mark-up too.

I wish the diesel came out earlier. I couldn't wait. If anything, not having to go to the pump as often is really cool. For the average driver, the diesel is a much better option than the 4.8.