BMW is launching a smaller, more affordable EV

BMW joins the growing list of luxury brands planning to introduce an entry-level electric vehicle. The new model will be the most affordable Neue Klasse EV.

BMW prepares a new entry-level EV for 2028

It’s finally official. BMW confirmed during its Capital Markets Day on Wednesday plans to launch a new entry-level Neue Klasse EV.

BMW said it will “strengthen its presence in the high-volume entry segment with another fully-electric model from the Neue Klasse.”

The new entry-level EV will arrive in 2028, “with a focus on Europe,” BMW said, using technologies introduced in other Neue Klasse models, such as the new iX3 SUV and i3 sedan.

Apart from that, BMW didn’t reveal any additional details. However, company “insiders” told BMWBlog that the new EV, codenamed “NBO” internally, will be a five-door hatchback when it arrives.

The i1, as it’s expected to be called, will likely be sold alongside the gas-powered 1 Series. Although it will have similar styling, it will be underpinned by the Neue Klasse platform.

BMW’s entry-level EV will sit between the MINI Cooper Electric and the iX1 or iX2 in its European lineup. Cheaper i1 trims will likely be RWD, while higher-priced xDrive models are expected to offer AWD.

According to BMWBlog, an i2 could arrive around 2030 as an electric sedan version of the i1 hatchback. BMW has not yet publicly announced plans for an i2.

BMW joins Audi, Mercedes-Benz, and several other luxury brands that plan to, or have already, launched a lower-cost electric vehicle.

While those in the US will miss out on the i1 as it’s designed for Europe, BMW is more likely to bring the i2 to America as a more affordable electric sedan.

BMW opened orders for the new 2027 i3 sedan this week, starting at $61,500. That’s the same price as the new iX3 SUV.