BMW said it will make making additional investments in a number of facilities in Bavaria to produce parts for the so-called electric Megacity Vehicle.

In a joint venture with SGL Carbon, SGL Automotive Fibers GmbH & Co KG, carbon fibre fabrics will be produced in Wackersdorf and processed to CFRP components for the new vehicle at BMW Plant Landshut.

Norbert Reithofer, Chairman of BMW AG, confirmed clearly the company’s commitment to Germany as an industrial centre: “The BMW Group will build the car of the future in Leipzig with high-tech innovations from Bavaria. The main reasons behind this decision are the qualities that Germany has to offer: we have a tried and tested production network here and high levels of education and outstanding competencies at our disposal.”

BMW plans to launch an entire family of electric vehicles from the Megacity subcompact, which is designed for major metropolitan areas. BMW hasn’t decided on a production name for the car.

The first, named Megacity Vehicle is due to come off the line in mid-2013.

The Leipzig plant produces the 1-series and the X1. In January BMW showed an electric 1-series Concept ActiveE to demonstrate its thinking on electric drivetrains.