The uncertainty brought caused by the Brexit vote may have some negative repercussions to the car manufacturing industry in the United Kingdom. Recent reports claim that German automaker BMW is planning on moving the production of new electric Minis from the UK to Germany.
Currently, most Minis are manufactured in BMW's facility in Oxford which is one of the biggest factories in the UK. Many market analysts said that should BMW decide to manufacture electric Minis in Germany, it will strike a major blow to the UK's manufacturing industry.
BMW announced last year that it is developing a battery-powered Mini car and it is slated to hit the market in 2019. Moreover, BMW said that the company is still on the process of deciding where to produce the cars. BMW's manufacturing plant in Cowley has been considered as the primary choice for building electric Minis, according to The Telegraph. However, the impending exit of the UK in the European Union have casted doubts to the automakers recent decisions.
From concept car to city slicker, the MINI #Paceman was made to cross borders. #TriviaTuesday pic.twitter.com/cYGb6DJa8b
— MINI (@MINI) February 28, 2017
Recently, German newspaper Handelsblatt published a report claiming that BMW is considering to build the upcoming electric Mini in the company's facility in Leipzig and Regensburg rather than Oxford. The report added that BMW is also looking to shift production of Mini cars in the Netherlands.
The BMW plant in Netherlands already produces about 2,000 Mini cars annually. That is about one in three Minis being produced globally. Nevertheless, BMW is still looking forward to a discussion with the British Government regarding the matter next week.
"The BMW group has always made clear that we believe integration of the UK into the EU single market, maintaining free movement of goods, services, capital, and talent, would be best for business," BMW said in its statement.
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