Thursday, December 6, 2007

MINI Sports Activity Vehicle To Be Built By Magna Steyr

BMW Group issued a press release today stating that the forthcoming MINI Sports Activity Vehicle (SAV) will be built by Magna Steyr in Graz, Austria, which also makes the BMW X3 model. The Bavarian Groups’ decision to hand the contract to Magna Steyr is quite a blow to the German company Karmann who also wanted to build MINI’s crossover.

BMW execs support that the outsourcing production of the MINI SAV will enable the company to increase flexibility within its own production network allowing the lead plant for MINI production in Oxford to fully direct its midterm capacity of 260,000 units towards meeting demand for the three core models MINI, MINI Convertible and MINI Clubman. -Continued

Frank-Peter Arndt, Head of Production and Member of the Board of Management of BMW AG, said: "By using Magna Steyr for production, we are able to give our own Production Network some breathing space to respond fully to market needs. This solution will also allow us to bring the MINI SAV to the market as quickly as possible."