BMW's sales have decreased by over 6%, reaching the lowest level in the last five years, after the company lowered its financial forecasts for 2026.

The activities of the German car manufacturer BMW recorded a significant decline on Wednesday, reaching the lowest level in the last five years, after the company revised its financial estimates for 2026.

BMW cited the slowdown in demand from China and the impact of the war with Iran as the main reasons for this decision. Although sales in Europe and the United States have evolved positively, they cannot compensate for the decline in China and Asia-Pacific, which are essential markets for the company. BMW estimates a significant decrease in pre-tax profit this year. Management mentioned that high energy prices, caused by conflicts in the Middle East, are increasing production costs and affecting consumer confidence.

Analysts from Deutsche Bank and Citi expressed concerns about the lack of details regarding cost-cutting measures and adjusted their sales estimates for China.

BMW's warning has generated declines among other European car manufacturers, who are facing increasing competition from Chinese companies. In this context, some European car companies, such as Ineos Automotive and Daimler Truck, are exploring opportunities in the defense industry, considering the increase in spending in this sector.