(qlmbusinessnews.com . Wed 26th Feb, 2025) London, UK —

BMW Puts Electric Mini Plans on Hold at Oxford Plant Amid “Uncertainty”

Cowley, Oxfordshire – BMW has confirmed a delay to its plans for the reintroduction of electric vehicle (EV) production at its Mini plant in Oxford.

The German car giant cited “multiple uncertainties facing the automotive industry” as the reason for pausing the £600 million upgrade to the Cowley factory. The company will also forego a related £60 million grant from the UK government, but insists it remains in “close dialogue.”

The UK automotive sector has been engaged in an ongoing debate with the government over its targets for electric vehicle sales. Carmakers have voiced concerns that the mandated quotas for EV sales in the coming years are unrealistically high.

Earlier this year, the government conducted a rapid consultation on potential adjustments to the zero emission vehicle (ZEV) mandate. Last November, Stellantis cited the mandate as one of the contributing factors in its decision to shut down its van factory in Luton.

A statement from Mini owner BMW read: “Plant Oxford is at the heart of Mini production, manufacturing and exporting a range of models, which are sought after in the UK and around the world. However, given the multiple uncertainties facing the automotive industry, the BMW Group is currently reviewing the timing for reintroducing battery-electric Mini production in Oxford.”

Electric Mini

BMW emphasised that much of the investment at the plant is still proceeding, with construction “well under way to make the plant future-ready,” including a new “state-of-the-art logistics facility.”

The statement continued: “We have informed the UK government of our decision to review the timeline for reintroducing battery-electric production in Oxford. As part of this discussion, we agreed not to take the previously announced grant, but we remain in close dialogue about our future plans.”

In 2023, BMW announced its intention to invest hundreds of millions of pounds to prepare the Mini factory in Oxford for the production of a new generation of electric Minis. Production of two new electric Mini models was originally scheduled to commence at the plant in 2026.

The Department for Transport (DfT) acknowledged the challenges faced by car manufacturers and stated it was listening to their concerns. The DfT said it was consulting on “reinstating the 2030 electric vehicle deadline while also protecting jobs,” a decision it said was “supported by a majority of manufacturers who have been working towards this date and are on track to meet their ZEV mandate targets.”

The DfT also highlighted its commitment to investing more than £2.3 billion to support both industry and consumers in transitioning to electric vehicles.

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