By ATN Editorial Team
Summary: The BMW Group is investing more than €100 million in Plant Steyr by 2029, building production for power electronics and inverter components that includes assembly of the inverter power module for the Gen6 electric motors of the Neue Klasse. The plant will also take over the upstream supply chain for the component, with production due to start in summer 2029.
Key engineering takeaway: BMW describes the inverter power module as the heart of the Gen6 inverter, which controls the energy transfer between the high-voltage battery and the electric motor. The inverter power module will be assembled on a new line in a new cleanroom, where large-area soldering and ultrasonic welding will be used for the first time in the BMW Group to join its ten individual parts.
Why it matters: In-house production of the inverter power module allows components such as semiconductors to be sourced flexibly on global markets, which BMW says improves its competitive position and reduces dependencies in a geopolitically sensitive technology field. The investment adds power electronics production to a plant that is currently ramping up Gen6 electric motors for the Neue Klasse.
The BMW Group is investing more than one hundred million euros in electric motor production at Plant Steyr by 2029. Alongside process improvements in existing production, a high-tech production facility for inverter components is being created. The site is thus deepening its value creation and strengthening its competitiveness in the field of highly efficient electric drives.
In the midst of the successful ramp-up of Gen6 electric motors for the Neue Klasse, BMW Group Plant Steyr is already setting the course for the future. By 2029, a state-of-the-art production facility for power electronics and inverter components will be built at the site. The company is thus strengthening the plant’s technological expertise, increasing value creation at the site and anchoring further key know-how for electromobility in Austria.
At the heart of the Gen6 electric motors, which are unique in the competitive environment and highly efficient, is a power module in the inverter. In future, BMW Group Plant Steyr will itself be responsible for the upstream supply chain and the assembly of this central and highly complex component. The plant also aims to achieve additional efficiency gains through process optimisation in the existing production system.
Harald Gottsche, Managing Director of BMW Motoren GmbH: “With our entry into e-drive production, we have shown that we can master transformation in Steyr. Through in-house production of the power module, we are now going even deeper into electrical engineering and can source components such as semiconductors flexibly on global markets. This improves our competitive position and reduces dependencies in a geopolitically sensitive technology field.”
Inverter Power Module Assembly In A New Cleanroom
By the start of production in summer 2029, the BMW Group is investing over one hundred million euros in Plant Steyr, including for a new assembly line in a new cleanroom and the associated infrastructure. The expansion also brings new, demanding manufacturing processes. For example, large-area soldering and ultrasonic welding will be used for the first time ever in the BMW Group to assemble the ten individual parts of the power module.
Helmut Hochsteiner, Head of E-Drive Production at Plant Steyr: “Building new competencies at the site as part of the transformation to e-mobility, for example for inverter production, has been successful, and our contribution to the success of the Neue Klasse is undisputed. Now we are looking forward to using this experience for the next step. Alongside the installation and integration of new equipment, we are preparing the qualification of our employees for the new scope of work.”
Steyr, The BMW Group Production Network And Austria’s Industrial Strategy
Since 2022, Plant Steyr has been consistently developed into a central location for electromobility in the BMW Group production network. At the same time, the plant continues to supply more than one million petrol and diesel engines every year to BMW Group vehicle plants worldwide.
Harald Gottsche: “We are a strong engine for Austria. Our production and the 4,700 employees, as well as the dense supplier network of the BMW Group, make a substantial contribution to value creation in the country. We are investing in technologies and competencies that will keep the industrial location competitive in the long term and thus keep jobs in the country. The fact that the Austrian federal government and the state of Upper Austria are supporting us in our next project confirms our strategy and underlines the willingness of policymakers to promote value creation from forward-looking innovations within the framework of the Industrial Strategy 2035.”
“Today’s investment decision by BMW is encouraging and shows that even an industry in the midst of transformation has a future in Austria. With diligence, innovative strength and an international orientation, we are focusing on the right strengths to succeed in global competition. The fact that Steyr prevailed within the group also confirms the clear focus of our industrial strategy: strengthening key technologies such as chips and semiconductors, reducing technological dependencies and bringing value creation to Austria. Because our ambition is clear: the cars of the future should not only drive in Europe, but also be produced here. That secures value creation, prosperity and, above all, jobs,” said Minister of Economic Affairs Wolfgang Hattmannsdorfer.
“Upper Austria is an attractive location for business, work and innovation even in challenging times, and BMW in Steyr is a prime example of this. Here, the highest technological expertise, qualified employees and the courage to embrace new technologies come together. At the same time, BMW shows how we can shape the future with openness to technology: with electromobility and new technologies as well as with the familiar strength of existing drives. For us, the rule is innovation instead of bans and openness instead of blinkers. This is how we secure value creation and jobs and strengthen our industrial and innovation location in international competition. Thank you to BMW for its clear commitment to Steyr and Upper Austria,” said Upper Austria’s Governor Thomas Stelzer at the site announcement in Steyr.
Inverter Power Module: Frequently Asked Questions
What does the inverter power module do in an electric drive?
The power module is the heart of the inverter. The inverter controls the transfer of energy between the high-voltage battery and the electric motor, and therefore contributes significantly to the efficiency and performance of the electric drive.
What will BMW Group Plant Steyr produce in power electronics?
By 2029, BMW Group Plant Steyr is building a new production facility for power electronics and inverter components. The site will take over the upstream supply chain and the assembly of the power module in the inverter of the Gen6 electric motors for the Neue Klasse.
How much is the BMW Group investing in Steyr, and when does production start?
The BMW Group is investing more than €100 million in Plant Steyr by 2029. The start of production is planned for summer 2029.
Why is BMW making the inverter power module in-house?
According to BMW, in-house production increases value creation and strengthens electrical engineering expertise in Steyr. At the same time, components such as semiconductors can be sourced more flexibly and dependencies reduced.
Which new manufacturing processes will be used to assemble the power module?
Large-area soldering and ultrasonic welding will be used for the first time in the BMW Group to assemble the individual parts of the power module. In general terms, large-area soldering joins wide flat surfaces such as a substrate and its baseplate in a single soldered layer, while ultrasonic welding uses high-frequency vibration to bond metal parts, such as terminals, without melting them.
Further Reading
- What Is A Traction Inverter? An EV Powertrain Engineer’s Guide
- BMW Launches Series Production Of New Gen6 Electric Motor
- BMW Gen6 eDrive: Cylindrical Cells, Energy Master, Neue Klasse
- BMW iX3 M60 xDrive Debuts With 450 kW Dual-Motor Powertrain
- AVL And VisIC Put GaN Traction Inverter Into EV Demonstrator
For more power electronics news, click here.
