Magna Steyr tp continue making MINI cars for BMW

MINI Countryman and MINI Paceman production to stay in Austria

January 31, 2014

Magna International subsidiary Magna Steyr will continue its collaboration with the BMW Group through a new vehicle manufacturing contract for its facility in Graz, Austria.

The new production program would start following the end of production of the current MINI models,MINI Countryman and MINI Paceman being assembled by Magna Steyr in Graz. Further information will be communicated at a later date.

"This new contract with the BMW Group exemplifies our customer's confidence in Magna Steyr to deliver world class manufacturing excellence and flexibility," said Günther Apfalter, President Magna Steyr & Magna International Europe. "We are pleased to secure this contract which allows Magna Steyr to maintain its position as a leader in contract vehicle manufacturing."

Magna Steyr has been a strategic vehicle assembly partner of the BMW Group since its first manufacturing contract for the BMW X3 which started in 2003. Currently Magna Steyr is manufacturing for the BMW Group the MINI Paceman and the MINI Countryman, the latter of which celebrated a milestone in 2013 with 250,000 vehicles produced since start of production in 2010.

Source: Magna International

Automakers often turn to contract manufacturers for low-volume, specialty models that would be difficult to produce at mass-assembly plants. General Motors, for example, used contract manufacturers for its Chevrolet SSR hotrod pickup from 2003 through 2006.