July 24 2009   Source: Bryan Joslin via BMW

BMW Offering $4500 Eco Credit Toward 335d or X5d Diesel

Inspired by the US government's "Cash for Clunkers" initiative to get Americans driving more fuel-efficient vehicles, BMW North America is offering a $4500 incentive for those considering either of its diesel-powered offerings, the 335d sedan or X5 xDrive35d sport activity vehicle before August 31, 2009.

The BMW program is completely independent of the government program, which offers a credit of up to $4500 depending on the "clunker" being traded and the new car being purchased. The federal program also limits the new vehicle price to $45,000, which for all intents and purposes excludes both the 335d and the X5.

In addition to the generous incentive from BMW, buyers are still eligible for tax credits from us the US government of $900 for the 335d and $1800 for the X5 diesel. These factors should help move a few more diesel-powered BMWs before the 2009 selling season ends.

The program makes the 335d particularly attractive, knocking essentially 10% off the $45,275 base price and effectively bringing it under the base price of the gas-powered 335i sedan. BMW's press release states that the 335d should save the owner an additional $2000 in four years of ownership — the same span as the bumper-to-bumper warranty and free scheduled maintenance. So far in six months and nearly 12,000 miles of driving our long-term 335d, we've recorded nearly $400 in fuel cost savings as compared to a 335i.

The X5 xDrive35d that we drove earlier this year delivered equally impressive economy as compared to the gas-powered X5 xDrive30i, with no performance deficit. The diesel engine is a perfect match for the X5's functionality as a people-and-their-stuff-mover, with its ample torque and smooth power delivery.

One additional benefit of picking up an X5 is that it is an American-built product, being produced exclusively at BMW's South Carolina manufacturing facility in Spartanburg. Since its opening in 1994, BMW has invested more than $4 billion into the local economy, and the plant currently employs more than 5000 workers.