Magna Steyr will build BMW's droptop at its factory in Graz, Austria.

Magna-Steyr confirms years of rumors by officially announcing plans to begin building the new BMW Z4 at its Graz, Austria, factory in late 2018. At this point, the company makes no mention of also assembling the Toyota Supra, but it's highly likely that Magna would build this vehicle too because of the shared platform with the Z4.

"We are very pleased that we can further strengthen our relationship with the BMW Group and continue to solidify our overall position in the industry with new business like this," Günther Apfalter, President of Magna Europe and Magna Steyr, said in the production announcement.

Update:

In 2016, Austria's Kleine Zeitung first reported on Magna-Steyr possibly building the Z4 and Supra, and the story even got the start date right by saying assembly would begin in 2018. At that time, the factory allegedly planned to produce 60,000 of the vehicles a year. Recently, Automotive News Europe revived the rumor when Magna-Steyr refused to confirm or deny whether it was producing the BMW and Toyota.

Gallery: 2019 BMW Z4 new spy photos from the Nurburgring

BMW has already started an official teaser campaign for the new Z4 by showing off the range-topping M40i trim. It would use a turbocharged inline-six engine, brakes from the M division, adaptive dampers, lower ride height, and more aggressive tires. Lesser versions would reportedly pack a turbocharged four-cylinder with 180 hp in the base s20i trim and 250 hp as the s30i. Inside, spy photos show the roadster with a digital instrument panel and BMW's latest Operating System 7.0 version of iDrive.

BMW intends to reveal the Z4 at a dedicated event sometime this summer, and then show it again at the Paris Motor Show in October. Last summer, BMW unveiled the Z4 Concept at Pebble Beach during Monterey Car Week.

Source: Magna-Steyr

Gallery: 2019 BMW Z4 teasers

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News Release - Magna to Produce the New Z4 for the BMW Group
 

BMW Z4 marks the fifth vehicle nameplate Magna is producing in Graz, Austria, for customers

Production will start at the end of 2018

Magna's unique capabilities make it an ideal mobility partner

SAILAUF, Germany, June 05, 2018 (GLOBE NEWSWIRE) -- Magna adds to its contract vehicle manufacturing line-up in Graz, Austria, with the addition of the new BMW Z4.  Production is scheduled to begin at the end of 2018. This business further strengthens Magna's position as the world's leading brand-independent vehicle contract manufacturer.

Magna will produce the new BMW Z4 in Graz, Austria, starting the end of 2018. 

"Our expertise in complete vehicle engineering and production makes us unique and the ideal partner for the industry," says Günther Apfalter, President of Magna Europe and Magna Steyr. "We are very pleased that we can further strengthen our relationship with the BMW Group and continue to solidify our overall position in the industry with new business like this."

Magna's cooperation with the Bavarian premium manufacturer started in 2001. In 2003 the first BMW X3 manufactured by Magna rolled off the production line, followed by a series of other models. Since 2017, a part of the total volume of the BMW 5 Series has been manufactured by Magna both with a combustion engine and as a hybrid version.

As a supplier with collective expertise across multiple product areas and the ability to build complete vehicles, the company is uniquely positioned to continue to partner with traditional automakers as well as new entrants in the new mobility landscape.  Magna has more than 100 years of experience in vehicle production, in excess of three million vehicles produced to date, and a broad range of engineering and support services.