BMW moves engine production to UK and AustriaNovember 19, 2020
German factories will soon be converted to produce electric cars.
BMW said it will retool its German factories to produce electric vehicles and components, and move the production of combustion engines to factories in England and Austria as part of a broader shift towards low-emission vehicles.
The BMW plant in Munich, Germany, which currently produces 4-, 6-, 8- and 12-cylinder internal combustion engines, will be converted to produce the next generation of electric vehicles with an investment of € 400 million by 2026.
BMW has announced that production of 8- and 12-cylinder engines will be moved from Munich to Hams Hall in England, while production of other engines will take place in Steyr, Austria.
The factories in Munich, Dingolfing and Regensburg in the German state of Bavaria, where BMW is based, will receive most of the investment. BMW said the number of employees at its Dingolfing powertrain plant, which makes powertrains for electric vehicles, will double to 2,000. The company also said that BMW will improve its cost structure by € 500 million by the end of the year.
Factories around the world are demanding investment in next-generation vehicles as electric vehicles gain popularity with consumers and governments accelerate the phasing out of internal combustion engines.
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