Decline of Diesel Cars: Why Sales Are Dropping

02/05/2024 - 15:36 | BMW,  ,   | IAB Team

Diesel car sales are on a downward spiral, and the trend doesn’t seem to be changing anytime soon. Last year marked a significant milestone in Europe as electric vehicles outsold diesel cars for the first time ever. The decline isn’t just due to shifting consumer preferences but also because automakers are scaling back on diesel offerings.

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According to data from the European Automobile Manufacturers’ Association (ACEA), diesel’s market share plummeted to 13.6% in 2023, while electric vehicles rose to 14.6%. By March 2024, diesel sales in European Union (EU) markets dropped further to 12.8%. BMW, one of the leading automakers, projects this downward trajectory to continue.

BMWBLOG spoke to Bernd Körber, Senior Vice President of BMW Brand and Product Management, Connected Company, who acknowledges that diesel's appeal is diminishing and “The diminishing benefits of diesel compared to other fuels like petrol and alternative power forms are leading to a reduced user base who choose diesel primarily for personal preference rather than clear advantages.”

The rise of efficient gasoline engines and advancements in plug-in hybrid and electric drivetrains are further pushing diesel into obscurity. Despite this, BMW has no immediate plans to discontinue diesel vehicles. Körber states, “There is no specific end date set for diesel vehicles, but their relevance and prevalence are likely to decrease as the advantages of diesel become less significant, particularly in historically strong diesel markets like Eastern Europe.”

However, BMW’s diesel lineup is likely to undergo simplification in the coming years. The new X3, for instance, will not offer an M40d version, following the trend set by the discontinuation of larger M50d models. Yet, the company will still offer diesel options for models like the new 1 Series and 2 Series Gran Coupe.

With stricter emissions regulations and dwindling consumer interest in diesel, automakers are feeling the pressure to adapt. While some have abandoned diesel offerings altogether, BMW is taking a more cautious approach. Nevertheless, the era of diesel dominance seems to be coming to an end, as gasoline, hybrids, and electric vehicles take center stage in the automotive industry.

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