BMW is conspicuously absent from the modern luxury off-road boom. While Mercedes-Benz has transformed the G-Class into a global luxury icon, other premium automakers are increasingly looking to capture a share of the lucrative market for high-priced, go-anywhere SUVs.
What makes BMW’s absence particularly interesting, however, is that Munich was not entirely ignoring the opportunity. The automaker had been working on an expensive, rugged SUV intended to arrive later this decade, giving BMW a potential rival in one of the industry’s most fashionable niches. Instead, the project appears to have quietly died before reaching production.
BMW was reportedly looking beyond its familiar performance SUVs with plans for an ultra-expensive off-road model that could occupy a new position at the top of its range. Rather than simply giving an existing X model more ground clearance and tougher styling, the proposed vehicle was intended to push BMW into the premium all-terrain market with a much more rugged character.
The project had progressed far enough for BMW to reportedly identify a production location and timeframe. Sources indicated that assembly was planned for the second half of 2029 at the automaker’s Spartanburg, South Carolina, facility, where BMW already builds several of its largest SUVs. The timing would have placed the newcomer several years into the future, suggesting BMW was considering a long-term commitment to a market it had previously left largely to its rivals.
The project finally had a name: G74. Internally, BMW was reportedly developing it as a high-priced, rugged SUV that would take the brand’s halo SUV formula in an entirely different direction. Rather than focusing on outright road performance like the XM, the G74 was intended to put greater emphasis on all-terrain ability while retaining the luxury and performance expected of a flagship BMW. It was also conceived as an indirect successor to the XM, which was expected to leave the line-up around 2028.
More importantly, the G74 would have given BMW its own answer to the Mercedes G-Class. The idea was to enter a segment where the G-Class had established an unusually strong position, while other luxury manufacturers were beginning to explore similarly rugged, high-value SUVs.
BMW was not planning to enter the rugged luxury SUV market at a bargain price. Reports suggested the G74 would start above $150,000, putting it firmly into G-Class territory from the outset. A more powerful M variant could push the price towards, or potentially beyond, $200,000, giving BMW plenty of room to position the model as a genuine flagship rather than simply another expensive X model.
The pricing strategy made sense when viewed against the Mercedes-Benz G-Class. The Geländewagen recorded 49,700 sales in 2025, a record for the model, demonstrating that buyers were willing to spend heavily on a vehicle whose appeal extends well beyond conventional SUV practicality. After all, it has a multiple-decade heritage. Kelley Blue Book reported an average G-Class transaction price of $175,144 in July, showing just how much money exists at the top of this segment.
The G74’s biggest departure from the Mercedes formula would have been underneath the skin. While the G-Class continues to use a traditional body-on-frame construction, BMW reportedly planned to build its off-roader around a heavily reinforced version of its CLAR architecture. The platform, used by BMW’s larger SUVs, including the X5 and XM, would have been substantially adapted to cope with the demands of serious off-road driving.
That approach could have given BMW greater flexibility and preserved the road manners expected of one of its flagship models, but it also presented a fundamental challenge. BMW would have been asking a monocoque architecture designed primarily around luxury SUVs to deliver the durability and credibility expected from a dedicated off-roader. The G74, therefore, would have had to prove that a reinforced unibody could compete in a segment traditionally associated with tougher, purpose-built chassis.
In July 2026, digital automotive artist Kelsonik gave BMW’s rumored off-roader a striking visual identity with a Carscoops render. The design imagined a boxy SUV with upright kidney grilles, a prominent front skid plate, and chunky all-terrain tires, giving it the unmistakable stance of a vehicle designed to tackle rough terrain. The proportions also made the imagined BMW look far more like a traditional G-Class style rock crawler than one of the brand’s conventional luxury SUVs.
There was, however, an important distinction between the artwork and the vehicle BMW was reportedly considering. Kelsonik’s creation was an independent rendering, not an official BMW image or leaked prototype. The actual G74 was expected to use a substantially reinforced and modified CLAR monocoque, meaning its underlying architecture would have been fundamentally different from the traditional body-on-frame layout suggested by the render.
The G74 faced a difficult business case even before BMW’s board had to decide whether to approve it. The XM had struggled to establish itself in the market, making another ultra-expensive, low-volume SUV a difficult proposition at a time when BMW was already preparing to move on from its existing halo model. Reports that the G74 failed to clear the final approval stage suggest that projected demand ultimately did not justify the investment required.
The competition also highlighted BMW’s engineering compromise. Scout’s upcoming Traveler and Terra use an all-new body-on-frame platform with a solid rear axle and mechanical locking differentials, specifically engineered for off-road capability. Rivian, meanwhile, designed its R2 SUV from the ground up, with off-road performance incorporated into its architecture rather than added to an existing luxury SUV foundation.
By late July 2026, the G74 appeared to have reached the most difficult stage of any new BMW: getting the green light. Reports indicated that the project had stalled before receiving final approval, with concerns over its potential sales volume apparently weighing heavily on the decision. That would leave the proposed SUV as another example of a BMW project that progressed deep enough to generate detailed plans and a production strategy, only to disappear before customers ever had the chance to buy one.
The decision leaves BMW in an unusual position. Mercedes has the G-Class, while other luxury manufacturers are now investigating similarly rugged vehicles, yet BMW remains without a direct answer of its own. The G74 shows that Munich did not simply ignore the opportunity. It explored it seriously, gave it a name, and developed a strategy around it, but ultimately appears to have decided that the commercial risk was too great. For enthusiasts, that makes the G74 particularly intriguing: it is not a forgotten BMW that failed in the marketplace, but one that never got the chance.
Sources: Carscoops, KBB, Car and Driver
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