May 17, 2007

BMW to take X3 production in-house, away from Magna

2007 BMW X3
2007 BMW X3. Click image to enlarge

Photo Gallery: 2007 BMW X3

Aurora, Ontario – Magna International Inc. has reported that BMW AG has informed the Canadian-based company that the next-generation BMW X3 will be produced in-house at the automaker’s facility in Spartanburg, South Carolina. Magna Steyr currently produces the SUV at its facility in Graz, Austria.

The shift in production will commence with the next generation of the vehicle. While the date will be decided by BMW, Magna Steyr says it expects production to end in 2010.

Magna Steyr was the sole production source of the X3 since the vehicle’s debut in 2003; the X3 represents 45 per cent of total vehicles assembled at Magna Steyr in 2006. The company says it is in discussions with customers about future potential assembly opportunities for the Graz facility. Magna is currently a significant supplier to the BMW Spartanburg plant.

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