Magna To Now Also Build The BMW 530e Plug-in Hybrid

2 months ago by Mark Kane 14

BMW 530e iPerformance

Magna is step by step becoming a more important player in the plug-in sector, not only as a supplier but also as a contracted manufacturer.

BMW 530e iPerformance

The company has just announced that besides the all-electric Jaguar I-PACE, the BMW 530e iPerformance plug-in hybrid will also be produced at Magna’s plant in Graz, Austria.

Production starts this summer.

The press release also states that Jaguar I-Pace retail production will begin in the first quarter of 2018 (which runs a bit contrary to recent speculation of the timing of that vehicle).

“BMW’s new 530e plug-in hybrid will be produced at Magna’s contract manufacturing plant in Graz, Austria, starting in summer 2017.

As a contract manufacturing partner for two premium electrified vehicles – the BMW 530e and the previously awarded Jaguar I-PACE – Magna’s Graz facility is demonstrating its value proposition to its customers.

This vehicle program further demonstrates the trust BMW places in Magna’s expertise in contract manufacturing and electrified products. Production of the new BMW 5 Series marks the successful continuation of the strategic partnership between the BMW Group and Magna that started over 15 years ago. The first BMW produced in Graz, an X3 SUV, rolled off the assembly line in Graz in 2003.”

“Magna started the split production on the BMW 5 Series sedan in March of this year and will commence production of the Jaguar I-Pace, their first electric car, in the first quarter of 2018. This year the company celebrates a milestone of more than three million vehicles produced in total for various automakers over the life of the plant in Graz.”

Jaguar i-Pace Concept

Guenther Apfalter, President Magna Steyr said:

“We are excited to be adding another electrified vehicle architecture to our line-up. Vehicle electrification is a growing trend in the industry and, with our complete vehicle know-how, we are in a great position to help our customers meet the demands.”

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15 responses to "Magna To Now Also Build The BMW 530e Plug-in Hybrid"

  1. AK says:

    Magna builds the entire Ford Focus Electric drivetrain (except battery) so they’re ahead of the game in figuring this stuff out.

  2. jelloslug says:

    Magna is a bigger car company than most car companies.

  3. EVmaven says:

    I test drove a 330e. Not impressed at all. Doesn’t use the electric drivetrain well at all. The management of electric versus gas drive trains biases towards gas and also doesn’t provide enough torque fill for nice responsiveness. Drives too much like a gas car most of the time, drives too much like a Prius on electric. The 530e will likely be even worse.

  4. David Murray says:

    Actually, this doesn’t fill me with much confidence. If BMW were serious about this car, they’d want to make more profit, so they’d build it all in-house.

    1. DJ says:

      So then if Tesla were serious about building the Model 3 they would build the batteries themselves? What about the windshield, the doors, seats, you get the point…

      1. David Murray says:

        Let’s use a better example. Ford has the Focus EV build almost entirely by Magna… and how serious are they about it? I mean, they sell like 100 units per month or less, most likely at a loss and therefor have no desire to sell more.

        1. Josh Bryant says:

          I am with David on this. BMW builds the i3 and i8 themselves.

          Outsourcing this vehicle assembly of this means it is a low priority to them.

          I guess it is better than them choosing not to offer it.

          1. Djoni says:

            So it’s the same with GM and the Bolt.
            Almost outsource every EV related issue.

        2. EndResult says:

          Your analogy is flawed – Ford needed the Focus EV to meet a state gov’t requirement. BMW does not need to build this car.

          1. Alex says:

            Right. BMW is looking to sell 100K electrified cars this year. About 4% of their total Sales. Which of the other big car-manufacturers can present such a ratio? With the new Samsung Battery-Plant in Hungary the PHEVs from BMW will quite likely pretty soon get the next generation of cells, bringing them to 14 to 16KWh at lower costs than today. Also the PHEVs are extremely agressive priced in Europe. Currently to lease a 530i is one of the cheapest options in Germany for the new 5-Series. Opening a second line beside their already existing internal line is to me rather a signal that they expect much higher Sales in the future than the 100K this year. PS. Mine is going to be build in the week starting July 3rd…

    2. R.S says:

      They will also build regular the regular 5 series. They already started production in March and the first vehicle was a diesel.

      So building the electric version somewhere else, would have been rather unnecessary.

    3. FISHEV says:

      Perhaps the model to be looking at would be Apple where they mfg nothing in house and it is all done at subcontractors.

      Magna which makes electronics parts for most of the auto mfgs has expanded to making cars for them, Mercedes and BMW and has done so for years with that business growing.

      EV’s battery packs, even Tesla’s, are mfg. by subcontractors, Panasonic, LG which is the main component of the car. Electric motors and gear drives being the other main component then electronic controls.

  5. Shane says:

    Sounds like BMW made a sound business decision.

    Years ago I worked for a printing company that expanded into selling full color printing as a contracted service. Then, when the company developed a sustainable market, they bought their own very expensive 4-color press.

    During this initial period the company learned a great deal about costs, production issues, profitability, and so on. When ready to bring the work in-house they took their recent sales figures to the bank to prove they could pay the note on the new press.

  6. SJC says:

    Five years ago BMW was saying you don’t need hybrids, they were offering a small turbo with 8 speed transmission.

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