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Mini may not build electric cars in England due to Brexit

BMW will decide whether to build its new electric Mini in Britain or elsewhere by the end of September, its board member for sales told Reuters, in a test of the country's ability to continue to attract investment as it leaves the EU. Mini makes around 70 percent of its approximately 360,000 compact cars at its Oxford plant in southern England but the car industry is concerned about the effect any loss of unfettered access to the EU, its largest export market, could have on plants after Brexit. BMW is deciding between its English site, a plant in the Netherlands where it has built more of its conventional line-up in recent years, and its Germany plants at Leipzig and Regensburg for the new low-emissions variant. The firm's board member for sales told Reuters that the electric Mini investment, likely to be worth tens of millions of pounds, would come in the next three months and the board was currently considering a number of factors including Brexit. "One of the elements is what is the likelihood of a tax regime and if there's a tax regime, how would it apply," Ian Robertson said during an interview at the Goodwood Festival of Speed in southern England. "If you made the motor in a German plant and you then assembled the car in a British plant, and you took the cars back to the German market, then the duty that you would pay would be reclaimed," he said, in an example of the options companies are examining to plan for any duties or tariffs. The automaker is also looking into where the uptake of greener models is strongest and where the best supply chains are, he said. Britain could approve its first major electric battery hub in the next few weeks after officials in central England submitted proposals to ministers in May. But last month, the car industry issued its strongest warning yet on the need for politicians to strike a transitional Brexit deal after two-year talks to ensure unfettered trade is maintained. Uncertainty has also been heightened after a snap June 8 election which left Prime Minister Theresa May without a majority and has led to ministers in her administration hinting at different versions of Britain's likely post-Brexit future. Last year, May's administration helped secure two new models at Japanese carmaker Nissan's plant in the north of England after what a source said was a government promise of extra support to counter any loss of competitiveness caused by Brexit.

BMW ups i3 production to 100 units a day to meet demand

To reverse the old Field of Dreams quote, they are coming, so BMW is building them. All indications are that US demand for the BMW i3 plug-in will be larger than initially expected. As a result, the automaker is upping production at its German factor by more than 50 percent in advance of stateside sales, Automotive News says, citing BMW boardmember Harald Krueger. BMW has started making about 100 i3s a day, up from its previous daily rate of about 70 units. So far, BMW, which is expected to begin sales of the i3 in the US later this month, has made about 5,000 i3s. BMW spokesman Dave Buchko confirmed in an e-mail to AutoblogGreen that the company was boosting production of the i3 based not only on US demand but on worldwide demand, but he declined to be specific about BMW's new production rate. BMW started selling the i3 in Europe in November and had racked up a six-month waiting list by early February. Last month, Norbert Reithofer, chairman of the board of management for BMW, estimated that the company would be making a cool 100,000 i3s a year by the end of the decade, and that the global automotive market would support that production level. Check out our First Drive of the i3 here.

BMW says 80 percent of i3 plug-in EV buyers come from other brands

BMW is feeling continued good vibes from its recently launched i sub-brand of plug-in vehicles. The German automaker, which started selling its i3 battery-electric vehicle in Europe late last year, is finding better-than-expected demand for both the i3 and the i8 plug-in hybrid, Automotive News Europe says, citing an interview with BMW executive Ian Robertson. The i3 is attracting a lot of new blood, too. Robertson said about 80 percent of new i3 owners were not previously Ultimate Driving Machine loyalists, indicating the curiosity factor for the company's new plug-in models runs high, Robertson says. BMW has sold more than 3,000 i3 vehicles since debuting the model in Europe last November. In April, the company boosted daily production of the i3 from its German factory to about 100 units from 70. Read more from Robertson here. Europe's largest markets for the i3 are the UK, Germany and Norway. In the US, BMW sold 336 i3 vehicles in May, its first month of sales here. The i3 was recently rated to go 81 miles on a single charge when it has an electric engine only. When equipped with gas-powered range-extender, the car can go 72 miles on a single charge and another 78 on gas. Check here for our First Drive impressions of the i3.