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BMW Says X5 Buyers Don't Really Care About Off-Roading

The new 2027 BMW X5 is arguably the most radical version of the nameplate yet, with a multitude of powertrain options, forward-thinking design, and numerous semi-autonomous driving aids, but it could have been even better if BMW had wanted. Speaking during a roundtable discussion following the new X5's debut, Phillip Koehn, senior vice president of BMW's Luxury Class, Alpina, and Rolls-Royce, told journalists that engineers chose to focus on areas other than off-road ability, saying that it wasn't necessary because venturing off the beaten path is not the priority for buyers. Another potential reason, though not one Koehn himself expounded, is that BMW could launch a more rugged SUV soon.

BMW Explains Why Better Off-Roading Ability Wasn't Important for the X5

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BMW

"A further enhancement of the off-road capability was not necessarily in the cards for the X5 because it's not really the first and foremost priority," said Koehn, according to BMW Blog. "I think we managed to stretch the envelope in all dimensions. It's grown in size, it's grown in loading capacity, it's grown in a variety of powertrains. It is significantly improved on fuel efficiency, and further improved in driving dynamics with the Heart of Joy technology. It's probably the most capable X5 we ever had." In other words, the new X5 is a better all-rounder, which is what buyers want, not a rugged off-road machine that treats all other considerations as bonus points. However, Koehn noted that there may be a niche to be exploited, recalling an occasion when he visited the Monticello off-road club in New York and saw a previous-gen (G05) X5 doing "crazy things." He said that while he's sure most customers won't ever take the car off paved roads, he was impressed by how capable the SUV was: "Honestly, I was surprised by what the car can actually deliver."

BMW May Produce An X5-Based Rival to the Mercedes G-Class

BMW
BMW BMW

Since last year, rumors of a G-Class rival that may replace the BMW XM have been circulating, and over the past few months, those rumors have looked more and more prophetic. Reportedly internally known as the "Rugged" project and expected to use chassis code G74, the new Bimmer may wear the X9 badge. While patents show BMW is exploring a body-on-frame chassis, the G74 is expected to be built in South Carolina on the X5's heavily modified CLAR unibody architecture, suggesting it won't be quite as good off the beaten path as a Mercedes G-Class or Land Rover Defender. If it does see the light of day, this new BMW SUV would likely cost more than the X5, have a taller ride height, and possibly even be limited in production, depending on demand. We'll report back once we know more, but it looks like BMW didn't prioritize trail-beating skills for the 2027 X5 because most buyers don't really care, and those that do may soon have something more specific to spend their hard-earned dollars on.

Copyright 2026 The Arena Group, Inc. All Rights Reserved.

This story was originally published July 13, 2026 at 2:48 PM.

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