BMW is offering US buyers who don’t qualify for the government’s ‘cash for clunkers’ fuel economy-based trade-in programme a US$4,500 rebate on two diesel models to woo new customers.
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The discounts apply to the 335d sedan and X5d SUV and will run until 31 August. BMW said the move would showcase its diesel vehicles, which account for more than half of its global sales, in the US.
Chrysler last week announced a scheme that effectively extends the US$4,500 rebate to all buyers and doubles it for those qualifying for the government programme, officially called the Cash Allowance Rebate System, or CARS.
US buyers became eligible for credits of up to $4,500 on 24 July under federal incentives intended to speed the junking of older, less fuel efficient vehicles. The rule-burdened $1bn programme sets a $45,000 retail price ceiling on new vehicles, ruling out the $51,200 X5d. The base 335d starts at $43,900.
Diesels account for less than 3% of US new vehicle sales, according to JD Power, but BMW wants to open up a market for diesel-powered luxury models.
The company sold 487 units of the 335d in the first half, or about 1% of 3-series volume. It also sold 1,655 X5 diesels, or about 13% of the total.
