BMW pulls the plug on Oxford Mini EV production, cites industry flux

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LONDON, Feb 24 — BMW has confirmed that it is delaying the reintroduction of electric vehicle production at its Oxford Mini plant due to multiple uncertainties facing the automotive industry.The company announced that it would pause the £600 million (RM3.3 billion) upgrade of its Cowley plant, which was intended to prepare it for the production of electric vehicles.According to the BBC, the German automaker also affirmed the plant’s place as the “heart of Mini” production."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,” it was quoted as saying.BMW also revealed it had decided not to accept a related £60m government grant but emphasized that it remains in close dialogue with officials.The UK automotive industry has been in ongoing discussions with the government over its ambitious electric vehicle production targets, which many car makers argue are too high.Earlier this year, the government conducted a fast-track consultation on changes to its zero-emission vehicle (ZEV) mandate in response to concerns from manufacturers.Stellantis, another major carmaker, cited the ZEV mandate as a key reason for its decision to close its van factory in Luton last November.Despite the delay in electric Mini production, BMW stated that much of the investment in the Oxford plant is continuing, including the construction of a state-of-the-art logistics facility.The Department for Transport acknowledged the challenges faced by car manufacturers and said it was working to balance the 2030 electric vehicle deadline with job protection efforts.