BMW could transfer the production of the Oxford Mini to the Born factory
- The BMW group said it has decided to increase the production capacity of its Dutch plant in Born from 100,000 vehicles to 200,000 vehicles a year. This increase in capacity in Born allows assembly of part of the BMW X1 ( C segment SUV) on this site. The X1 is indeed produced today entirely on the German site of Leipzig (186 000 units produced in 2017), but the rise in cadences of the BMW X2 could cause the saturation of this site during the next months.
- Recall that the Born site currently manufactures the Mini Countryman (89,000 units produced in 2017) using the same platform (UKL) as the BMW X1 and X2.
- According to Inovev, the increase in production capacity in Born could be followed by a second increase in capacity (to 300,000 vehicles per year, as in the 90s) if the conditions of the Brexit that will take effect in March 2019 forced BMW to transfer the production of the Mini from Oxford's British site (200,000 units produced in 2017) to the Dutch site of Born. Indeed, nearly 90% of the components that BMW uses in its British factories come from suppliers in continental Europe.
- A change in the deliveries of these components due to customs barriers would represent an additional cost.
- In such a scenario, the closure of the Oxford plant is conceivable, which would be a first consequence of Brexit in the automotive field.
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