PSA Peugeot-Citroen and BMW Group are investing EUR100 million in a joint venture that will develop electric car technologies for use in future models.
One year after the two partners signed a memorandum of understanding, the 50-50 joint venture formed by the BMW Group and PSA Peugeot Citroen is now up and running.
The launch of the joint venture “BMW Peugeot Citroen Electrification” creates the necessary conditions for the swift implementation of their common goals. Production of hybrid components for the electrification of both companies’ models is scheduled to begin in 2015.
BMW Peugeot Citroen Electrification is aimed at becoming one of the leading players in the field of electric powertrains within a few years, as well as a pacesetter on the road to the mobility of the future. Through the creation of an open technology platform, the joint venture intends to provide crucial support for the European industry as it structures itself in this domain.
To achieve this, the BMW and PSA are investing more than 100 million euros in the joint venture. Around 400 employees will work at the new Research and Development Centre in Munich by the end of 2011.
The BMW Group and PSA Peugeot Citroen have been working together as partners in the field of drive technology for almost ten years. More than 1.8 million 4-cylinder petrol engines have already been produced for MINI, Peugeot and Citroen brand models as part of the partnership established in 2002.
In February 2010, the two companies also agreed to continue their partnership with joint development of the next generation of these 4-cyclinder petrol engines. The joint venture now up and running will speed up the standardization of hybrid components, which should also generate substantial economies of scale in purchasing and production.
