Magna considers building additional plant in Europe following new contracts

December 14, 2016

Magna considers building additional plant in Europe following new contracts

Jaguar Land Rover’s new I-Pace battery electric vehicle to be built by Magna

Following the announcement that Magna International will begin production of Jaguar Land Rover’s new I-Pace electric vehicle in 2018, the head of its European business is reported to have said that it may build a new plant in Europe as its Austrian factory runs out of capacity. The I-Pace will be built at the Magna Steyr facility in Graz, Austria, where the company currently builds the Mercedes G class for Daimler.

“Including Jaguar Land Rover in our line-up at Magna Steyr adds another world class brand to our contract manufacturing track record. In addition, being awarded the new I-Pace reflects their trust in us to deliver on a new vehicle concept,” stated Günther Apfalter, President Magna Steyr & Magna International Europe.

It was announced in September that Magna will replace the production of BMW’s Mini Countryman with the BMW 5 series in 2017, extending a strategic partnership between Magna and the BMW Group that began in 2001.

“Should the Graz plant become overloaded, a new factory nearby might be an option,” Apfalter is reported to have told Automobil Produktion. One possible location was said to be Slovenia, but Magna was also looking at other potential locations in North America and China, with a decision likely be taken in the next few months, Apfalter added.

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