91 BMW Group Report 2024 To Our Stakeholders Combined Management Report Group Financial Statements Responsibility Statement and Auditor’s Report Remuneration Report Other Information Sustainability Statement FOREWORD TO THE SUSTAINABILITY STATEMENT* The BMW Group is committed to making continuous progress. Its innovative expertise aims to systematically reduce resource requirements. Taking a 360° approach to sustainability is a cen- tral pillar of the BMW Group Strategy. The BMW Group believes that its ability to create value and per- form at a high level lies in balancing its economic, environmental and social responsibilities. The BMW Group has a long tradition of being responsible and forward-thinking when it comes to en- vironmental protection, our people and our commitment to soci- ety. It is only natural, then, that in recent years we have expanded our focus beyond our own operations to our entire value chain, including our upstream supply chains and the lifecycle of our products after they have been delivered to our customers. The Company pioneered sustainable business practices by ap- pointing the first environmental officer in the German automotive industry over fifty years ago. Today, its robust environmental management systems and approach to corporate responsibility continue to uphold the BMW Group’s high standards. The BMW Group is making its contribution to Europe's overarch- ing goal of climate neutrality by striving to achieve net zero car- bon emissions across its entire value chain by 2050 at the latest. The BMW Group’s ambitious sustainability targets are aligned with the 1.5°C pathway of the Paris Agreement for its CO2e emis- sions (Scope 1 and Scope 2) and the Well-Below-Two-Degree (WB2C) approach for CO2e emissions from the supply chain and the use phase of automobiles (Scope 3 categories Purchased Goods and Services, Downstream Transportation and Distribu- tions, Use of Sold Products). The Group’s holistic, science-based approach involves This is built on — permanent reduction of energy requirements (Scope 1 and 2 emissions of BMW Group locations), — making greater use of renewable energy (Scope 1 and 2 emissions of BMW Group locations), — using the latest technology to improve efficiency (Scope 3 Use of Sold Products), — using electricity from renewable sources as a criterion when awarding contracts to suppliers (Scope 3 Purchased Goods and Services), and — a continuously increasing secondary raw material quota (Scope 3 Purchased Goods and Services). The BMW Group offers its customers state-of-the-art drive tech- nology, regardless of the drivetrain type. The Company recog- nised the challenges now facing the entire automotive industry at an early stage and is taking the initiative to find solutions. The BMW Group has been reducing fuel consumption for many years by using innovative EfficientDynamics technologies to develop highly efficient engines, thus ensuring the increasingly efficient use of fossil fuels at an early stage. The expansion of the PHEV fleet marked a significant step towards drivetrain electrification and reduced the carbon emissions of the Group’s own vehicle fleet even further. The BMW Group’s entry into electromobility began over 15 years ago with the development of the all-electric BMW i3. The extensive experience gained since then continues to shape the BMW Group’s manufacturing processes for all-elec- tric models, which have become a success story for the BMW Group. In 2024, they accounted for 17.4% of total deliver- ies, making the BMW Group one of the world's most successful suppliers of all-electric vehicles. This robust strategy has deliv- ered measurable success, with the BMW Group regularly surpas- sing EU carbon targets for its fleet. Consistently strong rankings in prestigious rating schemes highlight the priority that the BMW Group places on sustainability. The NEUE KLASSE, a new model generation, will be launched in 2025. It was developed with a strong emphasis on efficiency and sustainability throughout the supply chain. At the same time, with the NEUE KLASSE, the BMW Group is vigorously pursuing its strategic approach to close material cycles and thus gradually move closer to circularity. The BMW Group intends to introduce a second all-electric and locally emission-free variant to be pow- ered by hydrogen fuel cells in 2028. Climate change mitigation is a top priority for the BMW Group. Between 1995 and 2020, the BMW Group halvedthe CO₂ emis- sions of its new car fleet in Europe, thanks in no small part to an unwavering commitment to EfficientDynamics technologies. The EfficientDynamics approach brings together highly efficient drivetrains, intelligent lightweight construction and optimised ve- hicle energy management systems. * Not part of ESRS reporting. SUSTAINABILITY STATEMENT