Hugely popular luxury car company to raise prices next month citing inflation as key factor: 'Waste'

Some of America's favorite luxury cars are about to get more expensive.
BMW is hiking sticker prices across nearly its entire 2026 lineup next month, bumping MSRPs by up to $2,500 starting July 1, according to a dealer bulletin obtained by CarsDirect.
The German automaker told dealers the average increase will clock in at 1.9 percent, affecting almost every gas-powered car and SUV on its upcoming roster.
That includes America's third best-selling luxury vehicle, the gas-powered X5, and the tenth best-selling X3.
For consumers, entry-level X3 models will increase from $49,950 to $50,899.
At the top end, the sporty X5 M will increase from $127,200 to $129,700.
But the price increase won't effect BMW's entire lineup.
The brand's all-electric models — like the i5, i7, and iX — are exempt from the hikes. The ALPINA XB7, the 2026 BMW M2, and the newly updated 2-Series Gran Coupe won't see any price changes either.
The bulletin, which reportedly surfaced in early June, skips any mention of President Donald Trump's 25 percent car tariff.
Instead, it points to ' inflation and enhancements to standard equipment' as the cause for the upcoming increases.
BMW owners on Reddit didn't seem to mind the price change. One commenter said, 'Looks like my resale is continuing to hold strong.'
However, another driver chided the company for its high prices.
'BMW = Big Money Waste,' they added.
BMW didn't immediately respond to DailyMail.com's request for comment. In June, the company confirmed that it was spending $1.7 billion to build more EVs in the US.
But the dealer letter lands at a moment when American buyers are zeroing in on how import duties are rippling through car prices.
In March, President Trump's unveiled his signature tariff policy for all imported vehicles and their parts.
BMW didn't say the dealership change was in response to tariffs
BMW's CEO, Oliver Blume, recently reiterated the brand's intention to invest $1.7 billion in American battery and manufacturing plants
Then, in April, the administration softened the rollout, giving domestic automakers time to recalibrate.
Consumers, worried about price increases, headed to dealership lots in droves.
Multiple car brands reported banner sales to start this year. But consumer retail data released on Tuesday shows that pre-tariff sugar rush has likely crashed.
Since then, companies have started tallying the potential tariff damage. GM's CEO, Mary Barra, warned the new policy could cost her automaker up to $5 billion this year.
Ford's CEO, Jim Farley, said his mostly American-built fleet will still be on the hook for $1 to $2.5 billion in added costs.
Independent analysts have warned those costs are poised to land in American drivers, with increased car prices and insurance premiums.
Before the tariffs, the auto industry was already struggling with a price problem. The average American spent more than $49,000 to purchase a new set of wheels in May.
Some car companies including — Toyota and Volkswagen — have already signaled price hikes before the end of the year.
But BMW's bulletin offers one of the clearest early snapshots of what those price hikes could look like.
The only other major pricing shifts since the tariff announcement came in May, when Ford increased the price of its Mexican-made Mustang Mach-E, Maverick, and Bronco Sport models.
Ford attributed the hike to minor model upgrades, not policy fallout.

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