German automotive giant BMW has unveiled ambitious plans to inject hundreds of millions of pounds into its Mini factory located near Oxford, UK, to facilitate the production of the next generation of electric vehicles (EVs). This strategic move aims to ensure the long-term viability of the Cowley plant and the associated factory in Swindon.
The Cowley facility, which currently employs over 4,000 individuals, will be at the forefront of BMW’s electrification drive. Two new electric Mini models are slated to roll off the assembly lines starting in 2026, bolstering the company’s commitment to sustainability and EV innovation.
To facilitate this transformation, BMW has earmarked a substantial investment of £600 million. This funding will be allocated to revamping the Cowley plant, enhancing production lines, expanding the body shop, and creating a dedicated area for battery installation. Additionally, the company plans to construct supplementary logistics facilities at both Cowley and the Swindon factory, which specialises in manufacturing body panels for new vehicles.
These investments will enable the Cowley plant to produce the next generation of electric Mini models, including the iconic Mini Cooper and the larger Mini Aceman, side by side with traditional gasoline-powered vehicles. Meanwhile, the production of a third electric model, the Countryman, will take place in Germany.
The UK government is showing its support for this groundbreaking initiative by providing financial backing, estimated to be around £75 million. This partnership between the public and private sectors underscores the importance of the automotive industry in the UK’s economy and its transition toward sustainable transportation solutions.
BMW’s announcement reflects the company’s commitment to embracing electrification and adapting its production facilities to meet the growing demand for electric vehicles. By investing heavily in the Cowley plant, BMW is not only safeguarding the future of its UK operations but also taking a significant step toward reducing carbon emissions in the automotive sector.
Wizz Air Faces Capacity Reduction Due to Pratt & Whitney Engine Inspections
Low-cost airline operator Wizz Air has revealed potential challenges ahead in the second half of fiscal year 2024. The company anticipates a 10% reduction in capacity due to necessary inspections of Pratt & Whitney’s turbofan engines.
Earlier in the day, aerospace supplier RTX announced the need to remove 600 to 700 geared turbofan engines (GTF) for quality checks. These inspections are expected to lead to the grounding of some aircraft, adding to the aviation industry’s woes as it grapples with a post-pandemic surge in travel demand.
Wizz Air, which operates a fleet of Airbus planes, has been particularly affected by Pratt & Whitney’s engine concerns. Earlier this year, Pratt & Whitney identified over 1,000 engines requiring inspection for microscopic cracks, creating operational challenges for airlines.
Wizz Air is committed to working closely with RTX subsidiary Pratt & Whitney to minimise the impact on its fleet and financial stability. The airline also intends to seek financial compensation for the disruptions caused by these engine inspections.
Meanwhile, German partner MTU Aero Engines which controls an 18% stake in the GTF program, has warned that its own revenue and profits could be negatively affected by these developments, signalling potential ripple effects throughout the aviation industry.
