BMW Cancels 330e Orders In UK Due To Demand Far Exceeding Supply

1 year ago by Eric Loveday 39

2017 BMW 330e

2017 BMW 330e

BMW 330e

BMW 330e

According to some chatter in an online forum, BMW is canceling orders for its plug-in hybrid 330e in the UK.  This as first inventory shipments for North America is just arriving this month.

As Motoring reports:

“UK demand for new, plug-in, hybrid vehicles is so high that some manufacturers have cancelled orders or imposed lengthy lead in times, rumours suggest. A motorist who ordered a BMW 330e claimed via an online forum: “I’ve had the dreaded phone call from the leasing company and I am one of those who had the order cancelled.”

“They mentioned they have about sixty-five orders that have been cancelled by BMW. I asked for alternatives and I was told most plug-in electric vehicles have really long lead times including the Mercedes-Benz C350e – (with) expected delivery about July/August.”

This would only be a rumor if it not for these comments from BMW:

“We predicted UK sales of two-thousand five-hundred for the 330e this year, but the demand was much higher than we originally anticipated. We do have high demand across other PHEV (plug-in hybrid electric vehicle) models, but it’s not to the same extent as this.”

“Due to very strong demand we are indeed oversubscribed on 330e. We’re working with affected parties now and will let you know more when we have it regarding future supply.”

Plug-in hybrid demand in the UK is so high that it’s leading to long wait times for other cars too. Volkswagen released this statement:

“Last year we took around two-thousand five-hundred orders for (the) Golf GTE – and that number is expected to grow appreciably through 2016. Demand comfortably exceeds supply although we have, of course, adjusted production to accommodate that increasing demand.”

“As such, the time between order and delivery is now an estimated fifteen weeks or so.”

So, demand definitely seems to be strong, but supply is certainly lacking. The same has been true for other plug-in hybrids like the best-selling Mitsubishi Outlander PHEV.

Make more…the buyers are waiting to buy.

Source: Motoring

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39 responses to "BMW Cancels 330e Orders In UK Due To Demand Far Exceeding Supply"

  1. KUD says:

    I thought demand is a good thing, must have slept through the demand is bad part in ECON 101 🙂

    1. Alpha777 says:

      They build them by hand, it’s just one guy, he’s doing the best he can, it’s 1944 apparently.

      1. Pushmi-Pullyu says:

        😀 😀 😀

        But I think you’re describing the Toyota Mirai.

    2. evcarnut says:

      IF YOU BUY INTO THAT ! I HAVE “SUPER” DEALS FOR Y0U 0N SOME GREAT WATER FR0NT PROPERTIES DOWN IN FLORIDA!!

      1. Brian says:

        Please press that button that is to the left of the A key.

        Thank you,
        Everyone on a computer

      2. Speculawyer says:

        Indeed. BMW often arranges things so they can put out a “Wow, we got more demand than we anticipated!” story.

  2. tosho says:

    London Congestion Charge …

    1. ItsNotAboutTheMoney says:

      Road tax.
      Benefit-in-kind tax.

      Sales of PEVs are still dependent on incentives.

      1. Will says:

        Not entirely. Incentives obviously help, but the public is reaching a stage where people are starting to adjust to hybrids. You may have not realized this, but fuel is expensive in the UK!

  3. R.S. says:

    Thats always bad, if you product actually gets bought. What will happen next? BMW will actually earn some money with it?

  4. Daniel says:

    Hey BMW how about bringing whatever force is required to ramp up production and sell the things? Or would you just rather throw your customers back into the market to buy something else?

    1. James says:

      This is where electrification by the legacy auto boys gets ugly.

      So what if this electrified product takes off in the marketplace?!!! The plan is to sell some, but not a lot of them. If demand soars, they truly will have to change the way cars are made.

      Case in point: 2016 Chevy Volt – Old model was getting a bit tired, sales were really bleak. They had the finished car, why not reveal it? Turned out there was so much interest, they had to throttle back the car – limiting the 2016 to 11 states! WOW! Can you imagine cutting hours for a Hamtramck plant worker, or LG battery factory worker because you could sell too many cars?!!

      It’s reality, as the federal tax credit taps out at 200,000 units, and GM has sold over 98,000 Volts. Bolt EV is in the pipeline, and for it’s R&D to be paid for, the tax credit must apply. When dealing with compliance to government mandates – things get tricky.

      Why I champion Tesla so much – they don’t play these silly games.

      1. ffbj says:

        James bringing it. Right. +1

      2. Rick Danger says:

        Yup. Sad, really.

  5. Alaa says:

    They say

    “but the demand was much higher than we originally anticipated.”

    What they should say is that we do not have enough batteries.

    1. Speculawyer says:

      Or what they didn’t say is “We only expected to sell 2 or 3 of these.”

    2. techie says:

      Alaa – your actually right on the money there with the batteries. There is a confidential document from Samsung SDI doing rounds that gives full info on battery cells and BMW BEV/Phev timelines and how they fit in with the Samsung annual “factory” production targets.

      1. Alaa says:

        Thank you. I suspect after the big success of the Tesla Model 3 every country in the world will make batteries and giga factories. This is the next big thing. And for stationary use Sodium (Na) will also be used along side with Lithium (Li). Never again will the world need to lick to the Arabs since Na and Li are both found in the sea water.

  6. Pushmi-Pullyu says:

    Demand far exceeding supply: Great for manufacturers, bad for buyers.

    As they say: “It’s a seller’s market.”

    1. Scramjett says:

      Lensman? Is that you?

      1. Scramjett says:

        PS – My apologies if you’re not. But your avatar is identical to a past commenter by the name of Lensman.

        1. mr. M says:

          I can confirm he was lensman some months ago.

          1. ffbj says:

            Odd. He reintroduced his old avatar and yet retained his current name. Perhaps an error, perhaps by design. I concur it is the aforementioned Lensman of old.

            1. Nix says:

              Pushy has always been Lensman, and has always been open about it.

            2. Pushmi-Pullyu says:

              Okay, I guess that’s a sign I’m getting old. I didn’t even think about the fact that I reverted to my old “Gravatar” avatar by mistake.

              Well, that’s soon fixed…

        2. Pushmi-Pullyu says:

          Yes, I’m known as “Lensman” on other forums, and originally used that name here, so you do correctly recognize my custom-made “South Park” avatar.

          Oddly enough, two or three who regularly post here, who seem to want to feud with me, have brought my name change up as if it’s a bad thing. I confess I’m puzzled over this.
          When I made the switch, I did post a couple of times that I was “the post-er formerly known as Lensman” 😉 , to make it clear I wasn’t trying to hide or anything.

          I changed my screen name because “Lensman” is a reference to me being a long-time science fiction fan, but that’s not relevant to the subject of EVs. (“Pushmi-Pullyu” is a rather obscure reference to InsideEVs’ editor Jay Cole whimsically using photos of llamas in the past.)

          Anyway, if you wish to address me as “Lensman” I don’t mind at all, altho others may be confused.

  7. Bub says:

    Crazy. Can’t they plan accordingly, is it not glaringly obvious that this would happen?

    I’ve just been told that the car I ordered in February for June delivery is now coming on 5th October. That’s 9 months. Come on BMW, is this the best you can do?

    I wonder how us not being in Europe post June will affect it ….

  8. Tim says:

    One has to wonder why cancelling an order is the better option versus just maintaining an order backlog.

    1. Nix says:

      That doesn’t work very well when they have already picked options, prices, etc, and orders roll over to a future model year. BMW will likely change options, packages, and prices, etc, and those old orders will have invalid order codes.

      The old orders based upon current Model Year options, packages, and prices have to be cancelled. When the future model year ordering system is ready and open for orders, then new orders can be entered.

    2. rEVolutionary says:

      Cancelling works like a dream when you don’t actually want to sell the product.

  9. Just_chris says:

    What is the difference in price between the regular 3 series and the phev? What is the difference for company car buyers (benefit in kind tax) vs regular car buyers (government grant). The 3 series has historically been extremely popular in the uk as a company car making me think this is the benefit in kind tax working its magic.

  10. Iain says:

    I`ll be somewhat miffed if it gets cancelled been waiting 3 months now, was told when ordering April, last update was the end of June.

  11. Jozy Altidore says:

    Yup… feel free to cancel. The world wide reservations for Model 3 are starting soon. Soon BMW may not have anybody to sell the car to.

    1. BMW laughs at your Tesla Vaporware! BMW sells, sells, sells. Tesla promise, promise, promise.

      1. rEVolutionary says:

        BMW lost half their top sales, where their profits are juiciest, to Tesla in the world’s second largest market, the US, last year. I’m sure they are not exactly laughing.

  12. Just_Chris says:

    I had a look at the benefit in kind tax rates for BMW 3 series in the UK. These rates apply to anyone who gets a car bought for them by a company as part that they can use for personal use. It is essentially income tax on a car and it covers company cars across a pretty broad spectrum.

    I don’t really fully understand the system (the extra tax you pay depends on your taxable income, the cost of the vehicle, the CO2 emissions of the vehicle, the fuel type of the vehicle and it all changes between now and 2020).

    Looking at some rough calculations if you get a 330e as a company car it will add about 3900 pounds to your tax bill over 3 years if you get an equivalent (I am assuming it is equivalent, what do I know about BMW’s? not much) petrol 330i you will be paying 11500 pounds over 3 years in additional tax. If you go for the diesel it will cost about 9800 pounds.

    The cost of the 3 versions are all around the same i.e. 32,000 pounds so it won’t change much to your employer but it would significantly alter your annual tax bill.

    So to my simple mind, assuming that the 3 series is a very popular company car, the question is not “why is demand so high?” but rather “why the hell is BMW surprised?”

    I can understand them having limited availability but the Outlander PHEV should have shown them that BIK tax is a pretty powerful market driver.

    N.B. 1 GBP = 1.4 USD

    1. rEVolutionary says:

      Exactly. And the answer is they don’t really want to sell more of the car then absolutely necessary to keep up the pretense.

      Things will start to change more rapidly when one of the mainstream makers decides that electrification isn’t just the future, but has become more profitable to sell. For now, they just want to develop the tech and put out a small fleet for real world testing purposes. I reckon it’ll be 2025 before electric is as profitable to sell, and at that point, expect BMW to offer some awesome EVs in volume…

  13. “As such, the time between order and delivery is now an estimated fifteen weeks or so.””

    OMG! This is FIFTEEN times longer that the wait time for production constrained Tesla Model S.