BMW M Division Signals the End of Manual Transmissions

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BMW’s high-performance M division is preparing to phase out manual transmissions, with CEO Frank van Meel stating the business case for their continued development is rapidly weakening. This shift reflects a broader industry trend, as automakers face increasing pressure to optimize efficiency and power delivery in an era of ever-more-powerful vehicles.

The Declining Economics of Third Pedals

Van Meel explained to Carsales.com that the market for manual transmissions is shrinking, making it harder to justify the investment in new designs. Suppliers are less willing to commit resources to a segment with limited growth potential.

The current six-speed manual used in models like the M2, M3, M4, and Z4 is torque-limited to around 440 pound-feet. This restriction prevents its use in higher-performance variants, such as the CS models, requiring costly new transmission designs.

“It’s going to be quite difficult in the future to develop completely new gearboxes because the segment in the market is quite small, and the suppliers are not so keen on doing something like that.”
– Frank van Meel, BMW M CEO

Customer Demand vs. Practicality

Despite the financial realities, BMW acknowledges strong customer demand for manuals, especially among enthusiasts. The company intends to keep offering them “as long as possible,” recognizing their emotional appeal. However, the long-term outlook is clear: as electric vehicles and advanced automatic systems become dominant, the manual transmission will likely become a niche offering, then disappear altogether.

Why This Matters

The decline of manual transmissions isn’t just about gears and clutches. It represents a broader shift in automotive priorities: from driver engagement to automated performance and efficiency. This trend reflects changing consumer preferences and the technical demands of modern high-output engines. The question is not if manuals will vanish, but when.