While Germany sprints toward electric cars, one BMW plant holds out and keeps building old-school V8 and V12 engines

Across Germany, carmakers are racing to electrify their factories, their catalogues and their image. Yet one BMW facility remains stubbornly mechanical, continuing to assemble V8 and V12 engines for a shrinking but very real global clientele. The contrast says a lot about how uneven, and politically sensitive, the end of the combustion age has become.

The end of an era in Munich

At BMW’s historic headquarters plant in Munich, production of components for V8 and V12 engines officially ended in January 2026. No more cylinder heads, crankcases or connecting rods for these engines now leave the firm’s spiritual home.

This was not a sudden decision. BMW has been reorganising its European sites for years, reallocating engine families and platforms to cut costs and prepare for electrification. The V12 had already vanished from BMW’s European range in 2022 with the last 7 Series M760Li xDrive. The V8 is now following, model by model, as regulations and taxes squeeze it out of showrooms.

BMW’s Munich plant has stopped making V8 and V12 parts, turning a page on the prestige engines that defined its modern identity.

The move matters because these engines were more than just hardware. For many engineers and customers, they were rolling statements of what German mechanical engineering could do: a naturally aspirated V8 roaring in an E39 M5, or a silent V12 quietly hauling an armoured limousine.

A symbol of Germany’s industrial shift

The halt in V8 and V12 manufacturing at BMW’s headquarters captures a broader turning point for German industry. Political pressure, urban low-emission zones, and strict CO₂ targets are forcing brands to align their factories with future regulations rather than past glory.

Euro 7 emission rules, expanding low-emission zones in major cities and weight-based CO₂ taxation make large combustion engines difficult to justify on European roads. Even wealthy clients are choosing plug-in hybrids and fully electric limousines to escape punitive tax brackets and license-plate restrictions.

For BMW, prestige alone no longer offsets the investment needed to keep such engines legal and profitable in Europe. The company must now balance brand heritage with shareholder demands and mounting climate targets.

What happens to the remaining V8 and V12 engines?

Despite the symbolic closure in Munich, BMW is not instantly pulling the plug on every V8 or V12 worldwide. There remain specific markets and niches where these engines still make business sense.

  • Government and diplomatic limousines requiring special armouring
  • High-end customers in regions with cheaper fuel and lighter regulation
  • Existing long-term contracts, including some luxury applications

These engines will no longer be “Made in Munich”. Instead, final production and machining are being shifted to BMW’s plant in Steyr, Austria, and to specialised external suppliers. It is a quieter, more fragmented life for engines that once sat at the centre of BMW’s industrial pride.

The big engines survive, but as niche products built in Austria and by suppliers, not as stars of BMW’s main German plant.

Munich goes electric

The freed-up space in Munich is not being mothballed. BMW is repositioning the plant as a flagship site for its electric future.

New lines are being installed for high-voltage battery packs, electric drive units, and components for the company’s Neue Klasse electric platform, due to underpin a range of models from the mid-2020s onwards. The goal is to turn the historic factory into a showcase for German electric mobility rather than a museum of combustion engines.

BMW is investing heavily in training its staff to move from machining cylinder heads and crankshafts to handling battery modules, power electronics and high-voltage safety procedures. That shift helps retain local jobs and engineering talent at a time when many fear that electric vehicles will bring fewer manufacturing roles than traditional cars.

From V12 craftsmanship to battery precision

The skills involved are changing, but not disappearing. The V12 was famed for its mechanical complexity: twelve cylinders, intricate cooling and lubrication, and tight tolerances across hundreds of moving parts. Electric powertrains have fewer moving components, yet demand similar levels of precision in software, thermal management and quality control.

For Munich’s workforce, that means a transition from mechanical craftsmanship to a more electronics-heavy and software-led environment. This shift is happening under intense political scrutiny, as Germany tries to keep high-value industrial jobs on its soil while meeting climate commitments.

A plant that stays old-school

While Munich embraces batteries, another BMW facility is going in the opposite direction and holding onto internal combustion for as long as it can. This plant, used to building large engines, continues to assemble V8 and even V12 units in small but steady volumes.

The factory caters to markets that remain less hostile to fuel consumption and CO₂ output, such as parts of the Middle East and some Asian regions. In those places, a twelve-cylinder engine is still seen as a status symbol, not a climate liability.

Plant focus Main products Primary markets
Munich (Germany) Batteries, electric drive units, Neue Klasse components Global EV and hybrid models
Steyr and partners (Austria & suppliers) V8 and V12 engines in limited numbers Non-EU luxury markets, state limousines

This coexistence inside the same company illustrates the messy reality behind slick EV announcements. While marketing materials talk about fully electric futures by 2030 or 2035, global demand for high-powered combustion engines has not vanished. It has simply shifted away from Europe toward countries with different priorities.

BMW’s strategy shows a split personality: an electric flagship plant for Europe, and a quieter combustion lifeline for selected overseas buyers.

Why some buyers still want V8 and V12 engines

There are practical and emotional reasons why these engines refuse to die. A V8 or V12 offers smooth power delivery, long-distance range and quick refuelling, which remain attractive where charging networks are sparse. In hot climates, reliable air conditioning under heavy loads also matters, and big engines deliver that with ease.

There is also the intangible factor. For some clients, especially those buying state cars or ultra-luxury models, the number of cylinders is a signal of rank. A twelve-cylinder badge still carries a weight that kilowatt figures have yet to match in certain circles.

Key terms that shape BMW’s decisions

Several acronyms and policies sit behind these industrial moves:

  • Euro 7: Forthcoming EU emission standard that tightens limits on pollutants like NOx and particulates. Meeting it with large engines is technically possible, but increasingly expensive.
  • ZFE / low-emission zones: Urban areas, especially in France and Germany, where high-emission vehicles are restricted or banned. This makes it harder to use big petrol-powered cars daily.
  • CO₂ taxation: Many European countries tax vehicles based on their official CO₂ output, pushing buyers toward smaller engines, hybrids or EVs.

Put together, these policies nudge both manufacturers and consumers away from traditional V8 and V12 cars, even if the technology still works perfectly well.

What this means for drivers and enthusiasts

For everyday drivers, the shift mainly shows up in dealership choices: more electric models, more plug-in hybrids, and fewer big engines on price lists. Buyers who want effortless long-distance power will increasingly find it delivered by dual-motor electric saloons rather than a petrol-fed V8.

Enthusiasts face a more complex picture. Classic V8 and V12 BMWs are likely to gain cult status, but running them in European cities will become trickier. Owners may need to plan around low-emission zones, higher fuel prices and potential future restrictions, while relying more on specialist garages as parts become scarcer.

One scenario often discussed inside the industry is a future where large combustion engines survive mainly as “emotional” halo products, sold in very low volumes and paired with synthetic fuels or offset schemes. BMW’s decision to shift production rather than kill the engines outright keeps that option alive, at least for now.

For policy makers, BMW’s split strategy is a reminder that the transition to electric mobility is not a clean break. Combustion technology will likely coexist with batteries and hydrogen for years, shaped by local politics, infrastructure and customer expectations. Munich’s silence from V8 and V12 machining lines, contrasted with the rumble still heard at another BMW site, shows just how uneven that journey will be.

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Author: Ruth Moore

Ruth MOORE is a dedicated news content writer covering global economies, with a sharp focus on government updates, financial aid programs, pension schemes, and cost-of-living relief. She translates complex policy and budget changes into clear, actionable insights—whether it’s breaking welfare news, superannuation shifts, or new household support measures. Ruth’s reporting blends accuracy with accessibility, helping readers stay informed, prepared, and confident about their financial decisions in a fast-moving economy.

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