BMW Increases Electric Motor Production in Steyr, Austria

BMW Increases Electric Motor Production in Steyr, Austria BMW launches second Gen6 electric motor production line at its Steyr plant in Upper Austria. Learn about the plan to produce 100,000+ e-motors in 2026. Topics: News, Technology.

BMW Group has launched a second production line for electric motors at its plant in Steyr, Upper Austria — the company’s largest engine plant worldwide. The facility produced just 8,500 e-motors in 2025 but is targeting over 100,000 units in 2026, marking a 12-fold increase. Here is how BMW is turning Steyr into the heart of its Neue Klasse electric vehicle strategy.

Second Production Line Now Operational

In April 2026, BMW officially brought its second Gen6 e-drive assembly line online at the Steyr plant. The first line began series production in August 2025, and in just nine months the company doubled its production capacity. Total output will jump from 8,500 e-motors in 2025 to more than 100,000 in 2026 — a more than 12-fold increase.

“We are delighted by the popularity of our new all-electric models in the Neue Klasse,” said Harald Gottsche, Plant Manager at BMW Group Plant Steyr. “The BMW iX3 is already the most ordered BMW electric model in Austria. The recently unveiled BMW i3 is also receiving strong approval. With the launch of the second production line, we will supply our vehicle plants in Debrecen and Munich with more of the motors that power these models.”

As electrive.com reports, the expansion is driven by high demand for the iX3 — the Debrecen plant has already switched to two-shift operations.

Gen6 eDrive Technology: What Makes It Different

BMW’s sixth-generation eDrive (Gen6) is based on SSM technology — an electrically excited synchronous machine. Instead of permanent magnets, the rotor generates its magnetic field through a winding powered by direct current, eliminating the need for rare-earth materials and reducing costs.

BMW has adapted the SSM for the new 800-volt architecture of the Neue Klasse. According to the BMW press release, the key improvements over Gen5 include:

• 40% reduction in energy loss
• 20% lower costs
• 10% weight reduction
• Approximately 20% improvement in overall vehicle efficiency

The power converter uses silicon carbide (SiC) semiconductors, boosting inverter efficiency. The BMW iX3 achieves a WLTP range of up to 800 km, largely thanks to the new e-drive’s efficiency.

Over a Billion Euros Invested in Steyr

Between 2022 and 2030, BMW is investing more than €1 billion in expanding e-drive development and production at the Steyr site. The plant, which has manufactured internal combustion engines for BMW and MINI for over 40 years, now produces electric powertrains in parallel.

“Technology openness is our strength — it gives us the necessary flexibility to secure long-term jobs,” said Klaus von Moltke, SVP of Engine Production for BMW AG.

Around 1,000 employees currently work in the new electric motor assembly. Depending on global demand, half of the Steyr plant’s 4,700-strong workforce could be employed in e-mobility by 2030, as reported by the BMW Group PressClub Austria.

Steyr will remain the heart of our drivetrain expertise — both for combustion engines and electromobility.

— Klaus von Moltke, SVP Engine Production, BMW AG

Which Models Get Motors from Steyr?

Electric motors from Steyr are shipped to BMW assembly plants in Debrecen (Hungary) and Munich (Germany), powering the Neue Klasse lineup:

• BMW iX3 — the first Neue Klasse model. Production started in March 2026 in Debrecen. Available as iX3 40 (single-motor) and iX3 50 xDrive (dual-motor, all-wheel drive).
• BMW i3 — saloon, series production begins in August 2026 in Munich.
• BMW i3 Touring — estate/wagon, production in Munich likely by mid-2027.
• BMW iX4 — crossover (unofficial name), expected to be assembled in Debrecen.

Impact on Austria’s Economy and Job Market

The BMW plant in Steyr is one of Upper Austria’s largest industrial employers. The shift to electromobility is not just preserving jobs — it is creating new ones. Already 1,000 workers are directly employed in e-drive assembly, with many more in the supply chain and logistics.

For international professionals considering work in Austria, the industrial sector in Upper Austria offers growing opportunities in advanced manufacturing and e-mobility.

Frequently Asked Questions

When did BMW start producing electric motors in Steyr?

The first Gen6 line began production in August 2025, followed by the second line in April 2026.

How many electric motors does BMW produce in Steyr?

8,500 units were built in 2025. The target for 2026 is over 100,000 — a 12-fold increase.

Which cars use electric motors from Steyr?

BMW iX3, i3, i3 Touring, and iX4 — all Neue Klasse models.

How many people work at the BMW Steyr plant?

Approximately 4,700. Of these, 1,000 are already involved in e-drive production.

Does the plant still produce petrol and diesel engines?

Yes. The plant maintains technology openness, producing combustion and electric powertrains in parallel.

The Future of Steyr: From ICE to E-Mobility Hub

The launch of the second production line in Steyr is more than a capacity expansion — it signals BMW’s commitment to the Austrian site as a global center of excellence for electric drivetrains. By 2030, up to half of the plant’s workforce could be in e-mobility.

For Austria, this strengthens its position in high-tech manufacturing. For how2austria.com readers, it is further evidence that the Austrian job market is actively transforming, opening new doors for skilled professionals.

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