As part of Mini's strategy of adding to sales by offering new models at the lower end of its lineup, the carmaker has launched studies into an affordable city car. Mini intends for this car to rival the Smart Fortwo. This model is also designed to complement parent company BMW's Megacity project.
Conventional technology and modular mechanical components will be utilized throughout the carmaker's range to keep development costs at a minimum and to reach profit targets.
Mini has previously expressed that cars that are smaller than its three-door model aren´t profitable enough to be sustainable in the longer term. An insider source said that the officials are focused on determining how to make money at this level.
Since BMW has committed to a three-cylinder engine and with the investments on new production techniques on the rise, Mini is more confident that it can create a solid business case for an ultra-frugal city car.
The source added that it's still too early to make final decisions but that Mini sees a lot of momentum behind it. It's possible that Mini will show a concept within the next year or perhaps a little longer. So far, Mini has yet to disclose if this city car will be a two or four-seater, and if the engine will be at the front or rear.