BMW chief executive Harald Krueger to quit

Production chief Oliver Zipse is rumored to be the top choice to serve as BMW's new CEO.

BMW has announced that chief executive Harald Krueger will not seek another term after his contract expires next year.

Krueger took the reins in 2015 and led the company as it subsequently lost the global luxury sales crown to rival Mercedes-Benz. A Bloomberg report in May suggested he had lost the confidence of some board members who believed he was not putting enough focus on electric vehicles and autonomy.

"The BMW Group has been my professional home for more than 27 years," the executive said in a statement. "After more than ten years in the Board of Management, more than four of which as the CEO of the BMW Group, I would like to pursue new professional endeavours and leverage my diverse international experience for new projects and ventures."

Production head Oliver Zipse is said to be the leading candidate to succeed Krueger as chief executive, according to Reuters. The company says its supervisory board will discuss a potential successor at its next meeting on July 18.