Overview
- Insiders told Automotive News that BMW is developing a flagship off-roader codenamed G74 to challenge the Mercedes G-Class.
- The SUV is expected to enter production in the second half of 2029 at BMW’s Spartanburg, South Carolina plant on a reinforced next-generation X5 unibody platform.
- Industry reporting suggests the model will use internal-combustion or hybrid powertrains and could include a high-performance M variant to rival Mercedes-AMG levels.
- BMW may wind down XM production by late 2028 to free up factory capacity and reposition its halo model role toward rugged capability.
- High owner retention of the G-Class poses a customer-acquisition challenge even as BMW gauges off-road demand with its X5 xOffroad package.