BMW has completed the transition away from internal combustion engines in Germany, marking a historic milestone at its Munich site. The final engine assembled at the Bavarian plant was a V8, a moment noted by observers and enthusiasts alike as the end of an era for the factory’s ICE program in that region. The shift signals more than a stopgap; it reflects a deliberate strategic pivot toward electric mobility and the ecosystems that support it. As the company moves forward, the Munich facility stands as a symbol of BMW’s broader commitment to electrification, while still honoring the engineering heritage that defined the brand for decades. The completion of ICE production in Germany is a concrete step in a larger global realignment toward cleaner propulsion and a future where battery technology, charging infrastructure, and new vehicle architectures drive the core of BMW’s business in North America and beyond.
Meanwhile, BMW is repurposing a second German site to focus on electric vehicle manufacturing, backed by an investment of roughly 400 million euros. This transition includes a comprehensive retraining program for about 1,200 workers previously dedicated to internal combustion engines in Munich, with many of them transitioning to roles that support battery systems, software, and EV assembly. The reshaping of the workforce is aimed at maintaining strong employment levels while aligning the company’s production capabilities with a future where demand for electrified powertrains continues to grow in North American markets, including Canada and the United States. The broader plan implies a staged relocation of expertise and capacity, ensuring continuity of output while expanding BMW’s footprint in the rapidly evolving EV sector across multiple regions.
BMW’s production footprint will still include combustion engines for certain markets, underscoring a transitional phase rather than an abrupt exit. The company has confirmed that the 4.4-litre V8 and 6.6-litre V12 engines will continue to be manufactured in the United Kingdom, while smaller ICE variants will be produced in Austria. This multi-site approach reflects the practical realities of global supply chains, where legacy components and long-established supplier networks must coexist with new, electrified platforms. In parallel, the Munich site is actively developing and distributing models in the electric segment, with the i4 already rolling off the line and plans to introduce the i3 within the same facility as part of the Neue Klasse initiative, BMW’s next-generation lineup. The Bavarian operation is also expected to play a pivotal role in supplying production lines for this next generation, demonstrating how BMW intends to blend continuity with innovation as it redefines its manufacturing ecosystem for BMW plants worldwide, including North American plants that feed into the growing EV demand in the Canada-US corridor.
A broader trend is evident across the automotive industry as brands realign their production strategies with electrification goals. The question facing observers today is not merely about the end of ICE production in a single country, but about how legacy plants, skilled labor, regional investments, and supplier relationships adapt to a new era of propulsion. This era emphasizes battery technology, high-efficiency motors, software-defined vehicles, and scalable architectures that can support regional demand. The implications extend beyond Germany and Europe, shaping how North American markets respond to more integrated manufacturing networks, stronger EV incentives, and evolving consumer preferences. For industry watchers in Canada and the United States, the shift signals continued growth in EV capacity, battery supply chains, and the recalibration of regional production lines to meet rising demand in the North American market, while sustaining a balanced portfolio of both electric and, where necessary, traditional engines during the transition period. The conversation around this transition also invites reflection on how brands manage public perception, workforce retraining, and the long-term reliability of supply chains in an accelerating electrification journey. Finally, the note of a historical question remains, asking why a major automaker such as AvtoVAZ might have abandoned a model like the Lada Duster, a question that frames the ongoing evolution of product strategy in a market that still values versatility and regional adaptation.