BMW to invest more than 100 million euros in Steyr plant

BMW will invest more than 100 million euros in a new production line for electric motor components at its plant in Steyr, Austria, ORF reports. The facility will make power modules, a key part of the control system for electric motors, with production due to start in summer 2029.

The power module is part of the inverter, which controls the electricity supplied to the motor. BMW says it is the inverter’s most expensive component. Producing it in-house is intended to give the company greater control over costs and reduce its reliance on suppliers.

The investment will fund an assembly line in a clean production room and the necessary infrastructure. BMW will also use large-area soldering and ultrasonic welding at the plant for the first time within the group. Each power module will consist of 10 parts.

About 4,700 people work at the Steyr plant and will be trained for the new production processes. BMW has been developing the factory as a centre for electric mobility since 2022, while continuing to produce more than one million petrol and diesel engines there each year for BMW plants worldwide.

Austria’s economy minister, Wolfgang Hattmansdorfer, welcomed the investment and called for better conditions for Europe’s car industry. State Governor Thomas Stelzer said it must remain possible to register new cars with petrol and diesel engines.