Will BMW's EV Plant Drive Sustainable Engines of the Future?

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Credit: BMW Group. 90% of the materials in BMW's high-voltage batteries are recyclable, according to BMW
BMW Group's Plant Steyr begins series production of Gen6 electric engines, marking a major shift towards energy efficiency, EVs, tech and sustainability

BMW Group has launched series production of its sixth-generation electric engines at Plant Stey in Austria.

This site has long been a cornerstone of the company’s global powertrain operations. 

For the first time in its history, the plant will manufacture fully electric drives, reinforcing BMW’s commitment to its Neue Klasse platform and its broader transformation towards sustainable mobility.

Credit: BMW Group. BMW's Plant Steyr

Reinventing a legacy site

For more than four decades, Plant Steyr has been packed with combustion engine expertise, powering one in two BMW and MINI vehicles worldwide. 

Now, the facility is undergoing a reinvention. 

Extensive upgrades, including new production halls, modernised infrastructure and re-engineered processes, have been completed to accommodate electric drive manufacturing. 

“Three years ago, we announced that we would build this electric engine in Steyr,” says Klaus von Moltke, Head of Engine Production at BMW AG and Plant Director at Steyr. 

Credit: BMW Group PressClub. Klaus von Moltke, Head of Engine Production at BMW AG and Plant Director at Steyr

“Today, we are proud to deliver it. 

“What we are launching here today is more than just a production ramp-up. 

“It is a firm commitment to Europe, to technology and to the future.”

Around 1,000 employees are set to work in the new electric assembly line, with the potential for nearly half the site’s 4,900-strong workforce to transition to e-mobility roles in the medium term.

Efficiency gains through technology

The new Gen6 electric engine is designed to significantly improve vehicle efficiency. 

Compared to previous models, it: 

  • Reduces energy loss by 40%
  • Lowers costs by 20%
  • Cuts weight by 10%

This results in an overall efficiency gain of around 20%. 

Plant Steyr will handle the production and assembly of all major components, from rotors and stators to transmissions, housings and inverters, with some parts, such as housings, sourced from BMW’s Plant Landshut.

“Today we are laying the foundations for the future of the BMW Group,” explains Milan Nedeljković, BMW AG Board Member for Production. 

Credit: BMW Group PressClub. Milan Nedeljković, BMW AG Board Member for Production

“As the first production site for the Gen6 electric engine, Plant Steyr is central to the Neue Klasse and the continued development of our global production network.”

Driving regional value creation

This transformation highlights BMW’s strategy of combining technological innovation with regional value creation and long-term job security. 

“The new electric engine is made with innovative manufacturing processes,” says Helmut Hochsteiner, Head of Electric Engine Production in Steyr.

Helmut Hochsteiner, Head of Electric Engine Production in Steyr

"Implementing them takes perfect planning, experience and expertise, which is why we scaled up component production and the manufacture of the entire drive to industrial level ourselves, here in-house.”

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