BMW has reduced the power of the 4.4-litre twin-turbo V8 petrol engine found in the latest M5 performance sedan and M5 estate, as well as the XM SUV to meet upcoming emissions laws in Europe.
The German automaker said the latest Euro 7 emissions regulations, due to come into force in Europe in November 2026, will see the output of the M5’s V8 engine drop from 430kW to 400kW – with the hybrid system making up the shortfall to keep total system output unchanged at 535kW.
The changes are due to the introduction of the Miller Cycle combustion process, which the automaker says improves fuel efficiency and reduces emissions, along with “enhanced exhaust aftertreatment.”
The reduction in power from the V8 petrol engine was offset by an identical increase in power from the electric motor integrated into the M5’s gearbox, resulting in overall performance unchanged on paper.
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A torque figure for the revised V8 hybrid system was not provided. The current M5 in Australian showrooms delivers 750Nm from just 1800rpm.
BMW hasn’t announced a specific power reduction for the XM’s V8 engine, which will undergo the same Miller cycle as part of its Euro 7 compliance strategy, but confirmed the SUV’s combined hybrid power output will remain unchanged at 550kW.
The announcement came as part of BMW’s 2026 model year updates for Europe, which will see M5 models produced from March 2026 adopt the new tune, followed by BMW XM SUVs from April.
BMW Australia told Daily Sparkz No changes are currently planned for Australian showroom models, updates are limited to vehicles sold in Europe.
Australia – like the UK – has no official date for introducing Euro 7 regulations for new vehicles. Instead, Australia will introduce Euro 6d equivalent emissions regulations from December 2025.
BMW recently scrapped previous plans to drop V8 and V12 engines from its lineup, citing “above-average demand” in key markets such as North America as the reason for the decision.
This comes as Mercedes-Benz is also preparing a next-generation V8 that will reportedly be “electrified” – that is, paired with a hybrid system similar to the M5’s – for future flagship luxury and performance models, including the next S-Class and the CLE63 AMG.
MORE: Explore the BMW M5 showroom
MORE: Explore the BMW XM showroom
