BMW reclaimed the top spot in luxury sales from Lexus in the third quarter of 2025, selling 96,886 vehicles and beating the Japanese automaker by a narrow margin of 5,277 units. Lexus made itself the sales king in the second quarter of this year, but it appears the victory was short-lived. In any case, both automakers are expected to set sales records this year.
Part of BMW’s strategy right now is to bring vehicles to market early for the 2026 model year. According to Edmunds data, MY vehicles accounted for 51% of BMW Q3 sales in 2026 and just 4.8% of Lexus. However, Lexus dealers were able to turn inventory more quickly this quarter. BMWs took an average of 46 days to sell, while the average Lexus sold within 22 days. By Automotive News:
BMW’s third-quarter sales rose 25 percent from a year earlier, as the brand was hampered by a significant recall and halt in sales for defective brake modules.
SStrong demand for BMW’s plug-in hybrids and crossovers boosted sales in the quarter. Deliveries of plug-in hybrids rose 37 percent from last year, offsetting a 16 percent decline in electric vehicle sales.
Shaun Bugbee, executive vice president of operations for BMW in North America, attributed weaker EV sales to limited supply.
BMW made a “measured reduction” in electric car production in May and June, when there was uncertainty about rates, customer demand and the federal tax credit, Bugbee said.
The brand’s EV sales rose more than 30 percent in September as buyers rushed to dealerships before the federal subsidy expired at the end of the month.
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Lexus sales in the third quarter were 91,609, up 13 percent from last year.
Shawn Domeracki, Lexus vice president of sales and dealer development, said the brand’s U.S. sales were on track to reach a record of about 355,000 units for the year.
He mentioned two models that picked up the pace: the redesigned GX midsize SUV and the large three-row TX crossover. Through nine months this year, GX sales rose 35 percent to 28,244, while TX volume rose 86 percent to 39,546.
Mercedes-Benz finished in third place. In the quarter, sales even fell by 13% to approximately 73,500 passenger cars. The automaker attributed the decline to higher sales earlier this year. There might be something in that. During the third quarter, retail sales increased 6% to approximately 223,800 vehicles, putting MB on track to surpass last year’s raw total of 302,000 vehicles.
Overall, the US luxury segment grew 4.5% in the third quarter, which is actually slightly less than the 5.6% that the rest of the market grew. Rounding out the top five in luxury sales were Audi (46,758 vehicles) and Cadillac (46,525 vehicles – up 25% year over year).
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