BMW Might Take Electric Mini Manufacturing Outside UK; Brexit Impact

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In yet another blow of Brexit, world leader and Britain’s top car manufacturer BMW is thinking of moving out their electric car Mini’s manufacturing outside UK. This threat is in wake of Brexit as BMW keen on alternatives in Europe.

Mini’s manufacturing of their new electric model and potentially all models could be moved outside the UK. This is due to fears of potential trade barriers with Europe being costlier for the German manufacturer.

In a statement made by BMW, the company has said it has the resources to move production elsewhere if necessary. Most Mini cars are made in the UK, however, some of the urban models are already being made in the Netherlands making that a viable option.

Another solution is to move to their production to their German factory that makes the BMW 1 Series. At BMW’s annual press conference in Munich Chief executive Harald Krueger said, “Our production network offers us flexibility. “The UK remains an important location for us. Much will depend on how Brexit is ultimately negotiated.”

Over 200,000 Minis are produced in the UK annually and they employ more than 24,000 people and this move could result in significant job losses for UK workers. With Brexit negotiations, still ongoing, car manufacturers are concerned over the obstruction of free movement of components and vehicles between production sites. The German manufacturer is hoping for “a tariff-free environment and a legal equilibrium,” BMW’s head of sales Ian Robertson said at the press conference.

Article 50 is set to be triggered next week and the outcomes of the UK’s decision to leave Europe still unknown the uncertainty continues for major European manufacturers.

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