Milan Nedeljković was selected as Zipse’s replacement for his strategic foresight and implementation capabilities. By Stewart Burnett
BMW’s supervisory board has appointed Milan Nedeljković to replace Oliver Zipse as Chief Executive, who will departs in May 2026 after 35 years with the company. The 56-year-old Head of Production, who joined BMW as a trainee in 1993, will assume control on 14 May as the automaker launches its highly-anticipated—and marketed—battery-electric Neue Klasse series.
Zipse helmed BMW for a long time, receiving contract extensions beyond the usual retirement age through 2026. He will exit the company by mutual agreement following the annual general meeting on 13 May. “Oliver Zipse has made a significant contribution to the BMW Group and deserves our sincere gratitude,” Nicolas Peter, supervisory board chairman, said in a statement. “He has guided BMW through global crises such as the coronavirus pandemic and is the driving force behind the Neue Klasse, the company’s most ambitious future project.” Zipse is expected to join Airbus’ board of directors following his departure.
According to BMW, Nedeljković impressed the supervisory board with strategic foresight and implementation capabilities. “Milan Nedeljković convinces with his strategic foresight, strong implementation skills, and entrepreneurial thinking,” Peter said. “He stands for very focused management of resources—whether financial or ecological.”
The Serbian-born manager studied in Germany and Cambridge, Massachusetts, working through several BMW locations including Plant Oxford before joining the management board in 2019. Automotive World interviewed him in 2023 about the battery technology underpinning the Neue Klasse, and BMW’s wider ambitions about technological transformation. “The whole wealth of Europe is based on innovation and technology achievements,” he said at the time. “But at the same time, we need to industrialise it.” His contract as Chief Executive extends into 2031.
The handover arrives as BMW struggles to gain traction amid stiff competition from insurgent Chinese automakers, as well as punishing US tariffs that prompted it to cut its 2025 earnings forecast in October. The automaker is now banking on the Neue Klasse series to drive growth in 2026 and beyond. Bernstein analyst Stephen Reitman described the platform in a noteto investors as the “largest leap BMW has ever taken”.
BMW has generally navigated the electric vehicle transition more successfully than compatriot OEMs Mercedes-Benz and Volkswagen, despite significant market turbulence. Battery vehicles represented 18% of BMW’s global sales during the nine months to September, compared with 11% for Volkswagen and 9% for Mercedes-Benz.