MUNICH -- BMW AG will produce its electric-car models in Leipzig, Germany, the automaker announced last week.
In addition, factories in Wackersdorf and Landshut, Germany, will supply the so-called Megacity electric vehicle.
"The BMW Group will build the car of the future in Leipzig with high-tech innovations from Bavaria," BMW CEO Norbert Reithofer said in a statement.
"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."
The first Megacity cars are scheduled to come off the line in mid-2013.
BMW plans to launch an entire family of electric vehicles from the Megacity subcompact, designed for major metropolitan areas. BMW has not decided on a production name for the car.