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BMW to produce next-gen e-drives at Steyr engine plant; more than 600k units per year

From 2025 onwards, the next generation of BMW e-drives will be manufactured in its engine plant in Steyr, Austria—with both production and development on site—with eventual annual production capacity of more than 600,000 units. The BMW Group will be investing around €1 billion in competence development in this area between now and 2030.


The BMW Group’s largest engine plant: Steyr plant in Upper Austria

The significant increase in capacity, which was announced by the company at an event in June, will ensure the Steyr plant in Upper Austria remains the BMW Group’s leading drive-train location.

This plant has developed and manufactured combustion engines for our BMW and MINI brands for more than 40 years. One out of every two BMW Group vehicles around the world today already has a ‘heart’ built in Steyr. From 2025, we will also develop and produce the next generation of e-drives here. Years of experience and a wealth of drive train expertise make BMW Group Plant Steyr the ideal location for the sustainable mobility of the future.

—Milan Nedeljković, member of the Board of Management of BMW AG responsible for production

This step is, without question, the most important milestone since the groundbreaking in 1979. We will produce more than 600,000 e-drives per year while maintaining high production capacity utilization for diesel and petrol engines. By 2030, around half of our 4,400 employees will work in electromobility. This is also an enormous step towards securing jobs here at the BMW Group site in Steyr for the long term.

—Alexander Susanek, managing director of BMW Group Plant Steyr


Rendering of new two-storey production hall for e-drive production and new extension for larger logistics areas

Going forward, Steyr will produce all core components for the innovative, highly-integrated e-drive train: the rotor and stator, the transmission, the inverter and the housing. These components will then be installed on two new assembly lines.

Existing production areas will be refurbished and new spaces created: A two-storey production hall will house two assembly lines for e-drives, including transmission assembly. The new building will also be used for manufacturing power electronics with clean room technology. A second new building will expand the logistics areas. As a result, the total production area will be expanded by about 60,000 square meters. Investment in production will total around €710 million by 2030.

As a development location, Steyr revolutionized the diesel engine and has continued to optimize it ever since. Now, this success story will be repeated for e-drives: In Steyr, a new high-performance e-drive is being developed that will establish a new performance class.

We are strengthening the Steyr location by continuing to expand expertise in electric drive technology. For the first time, an entirely new drive train will be developed here in Austria.

&mdashFrank Weber, member of the Board of Management of BMW AG responsible for Development;

The development location will be investing around €230 million in these new high-performance e-drives between now and 2030. A third of the 700 developers in Steyr already work in e-mobility. By 2030, this number will increase to around 90%.


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