The Globe and Mail reports in its Wednesday edition that BMW slashed its outlook for 2026 on Tuesday, blaming an accelerated downturn in the key Chinese market as well as the impact of the Iran war, which the German premium carmaker said had hit consumer sentiment and raised energy costs. A Reuters dispatch to The Globe says the comments showed how exposed Europe's auto sector -- already pummelled by fierce Asian competition and weak demand at home -- is to developments abroad. BMW said it now expects an operating margin in its core automotive segment of between 1 per cent to 3 per cent, down from 4 per cent to 6 per cent previously, as well as a slight decrease in core deliveries in 2026, having previously expected them to be on par. The company's group profit before tax is expected to fall significantly, which BMW defines as a decline of more than 15 per cent, after previously forecasting a moderate drop. BMW's shares closed Tuesday at $19.86, down 65 cents on the Toronto Stock Exchange.