As the global automotive industry navigates economic instability and shifting policies, major manufacturers are rethinking their strategies. BMW is the latest automaker to adjust its plans, announcing a delay in the production of fully electric Mini vehicles in the United Kingdom.
The decision reflects broader concerns about fluctuating EV demand, geopolitical tensions, and potential trade barriers.
BMW AG has confirmed that it will reconsider the timeline for producing fully electric Mini models in the UK, citing multiple uncertainties in the auto industry, as reported by HotNews.
Slower-Than-Expected EV Growth
In 2023, Mini representatives announced a £600 million ($724 million) investment in the UK to transition all Mini vehicles to full electrification by 2030, with production originally set to begin at the Oxford plant in 2026. However, on Saturday, BMW stated that it is reassessing this plan.
"Given the multiple uncertainties facing the auto industry, the BMW Group is currently reconsidering the timeline for reintroducing battery-powered Mini production in Oxford," the German automaker said in a statement.
One of the key factors behind the shift is the slower-than-expected growth of global electric vehicle (EV) sales. Additionally, automakers are bracing for potential new tariffs, with former U.S. President Donald Trump threatening to impose a 25% duty on all auto imports into the United States.
British Government Informed of Changes
While BMW remains committed to modernizing its Oxford plant, it has informed the British government that its production timeline is now under review.
"Construction work in Oxford is progressing well to make the plant future-ready," Mini representatives said. However, the company has decided not to access the previously announced government grant but remains in discussions regarding its long-term plans.
BMW’s decision underscores the growing challenges faced by the auto industry, as manufacturers balance evolving market conditions, regulatory shifts, and the complex transition toward electric mobility.
