BMW cuts 2026 outlook as China weakness and Iran war hit demand
What's new: BMW warned pre-tax profit will fall significantly, and its shares sank 6.5% to a more than five-year low.
BMW cut its 2026 profit outlook after weaker demand in China and disruption tied to the war in Iran added pressure on sales and costs. The German automaker said stronger volumes in Europe and the United States could not offset declining sales in China and the wider Asia-Pacific region. It also pointed to higher energy prices linked to the conflict, saying they were raising costs and hurting consumer sentiment in markets worldwide. Shares fell 6.5% on Wednesday to their lowest level in more than five years. The warning also weighed on other European carmakers, with Volkswagen and Mercedes-Benz shares coming under pressure.