BMW posts 21% rise in Middle East sales

X FACTOR: BMW say the X5 is their best selling car in the Middle East. (Getty Images)

Luxury car manufacturer BMW on Tuesday announced a 21 percent rise in sales in the Middle East for the first half of 2008 over the same period last year, partly fuelled by growing popularity for its X5 four wheel drive vehicle.

Lebanon and Abu Dhabi saw the biggest rises in growth, with a jump in sales of 68 and 56 percent respectively while Dubai led the way in terms of highest overall sales volumes, with the emirate accounting for nearly 25 percent of the total 7,953 sales across the region in the six-month period.

BMW Group Middle East’s performance helped the manufacturer achieve its best ever global half year sales, with an increase of 4.7 percent, despite a stagnation of its European market and a decline in US growth.

Middle East consumers thirst for large, premium cars shows no sign of abating, with a 66 percent rise in sales of the X5 model and 1,202 vehicles sold of each of the 7 and 5 Series models, with the firm shifting 1,690 3 Series cars.

Demand for the new X6 Sports Activity Coupe has also been high, with 596 of the vehicles sold between March and June.

And orders are already flooding in for BMW’s brand new 7 Series set to hit showrooms in the region from November.

Phil Horton, managing director of BMW Group Middle East, said: “The Middle East for us and other premium brands is an inverted triangle as we sell lots of big cars like the X5 and the 1 Series does not sell particularly well because in the premium segment customer demand is around the top end of the market, helped by the massive amount of liquidity.

“It’s very much a market where newness and innovation is highly prized, particularly with local customers wanting new products like the X6 and the order books are already high for the for the new 7 Series when the first photo was only released a month ago.”

There was a 15 percent rise in sales of the MINI, although the number sold only stood at 329 vehicles.

Horton said he was particularly pleased with BMW’s performance in the Middle East, given the global economic downturn, combined with escalating inflation, a decrease in currency exchange rates and high oil, metals and energy costs.

As awareness grows in the Middle East about the environmental impact of vehicle emissions on climate change, BMW hopes to roll out across new models its EfficientDynamics technology, designed to lower its cars fuel consumption and emissions.

Next year BMW will introduce its first hybrid car and its longer term aim is to have zero carbon emissions by using alternative fuels such as hydrogen.

Horton said: “In the UAE, in particular, we are seeing this green awareness from Sheikh Mohammed bin Rashid Al Maktoum talking about green building and the Roads & Transport Authority talking about hybrid buses and, from a car manufacturer's point of view, we need to play a part in this.”

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