BMW has announced a reassessment of its timeline for manufacturing all-electric Mini cars in the UK. The company believed that the uncertainties of the industry were the reasons.
In 2023, Mini said it will invest £600 million ($757.8 million) to make the brand all-electric by 2030. It had plans for BMW electric Mini production at Oxford by 2026. But, the BMW group are looking again at that timetable.
Industry Uncertainties Impacting BMW’s Decision
The automotive sector is facing several challenges, prompting BMW to rethink its approach. The firm claims that because of various uncertainties in the industry, it is assessing the timeline for the reintroduction of battery-electric Mini production in Oxford.
Sales of BMW electric vehicles are not growing as quickly as expected. Further, troubles on the chances of U.S. levies on auto imports have affected instability. Ex-U.S. President Donald Trump said that he will charge 25% duty on all the cars that are imported into the US. This uncertainty has led automakers like Volkswagen’s Audi and Mercedes-Benz to raise production North America.
Mini’s Continued Investment in Oxford
Despite the review, Mini confirmed that construction at the Oxford plant is progressing to ensure the facility remains competitive in the future. The company told the UK government that it is looking at the schedule for BMW electric car production.
According to Mini, it agreed not to accept the grant that was announced earlier as part of their discussions with the UK government. Nonetheless, it is still in talks for its long-term electric car production plans in the country.
BMW is not giving another timeline but it reviews show problems with the electric car industry. The company’s final decision will likely depend on market conditions and policy developments in the necoming months.
