Mini EV production under a cloud

BMW Group is reportedly rethinking its timetable for manufacturing all-electric Mini cars in Britain, joining Alfa Romeo, Aston Martin, Cupra, Ford, Porsche, Smart, and others in citing uncertainties facing the industry.

BMW Group said in 2023 that it would invest £600 million ($A1.2b) in the UK to make its Mini brand all-electric by 2030, with production of new-generation Mini EVs due to start in Oxford in 2026.

But it is now reported to be rethinking that plan.

“Given the multiple uncertainties facing the automotive industry, the BMW Group is currently reviewing the timing for reintroducing battery-electric Mini production in Oxford,” the manufacturer said in a statement this week, despite construction of the facility already being well underway

“As part of this discussion, we agreed not to take the previously announced (British government) grant, but we remain in close dialogue (with the British government) about our future plans.”

BMW Group had previously shifted its electric Mini output to its joint venture with GWM in China, a setback to the UK as it worked to transition its already diminished auto industry to battery-powered models.

Globally, sales of electric vehicles have struggled to grow as much as expected.

The industry is also contending with US president Donald Trump’s threat to impose a 25 percent tariff on all US vehicle imports.

Britain’s car industry has been in decline for years, with Brexit and high energy costs adding to its challenges.

The country wants to be a leader in EVs but has lagged other countries in establishing the necessary plants and battery factories.

With Automotive News