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BMW to build a city car
By Yoann Besnard on 4 February 2008 | 
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According to AutoExpress, BMW is currently working on a small car set to compete with the Smart ForTwo and the future budget model Volkswagen in order to reduce its fleet average emission levels and comply with the 2012 EU emission regulation.
According to the sources, BMW won’t feature hybrid technology as result of cost cutting. Instead, the small car would be powered by small turbocharged petrol and diesel engines. Sitting on a front-wheel drive platform, BMW engineers would ensure the city car offer enough driver appeal.
The lineup would be positioned below the BMW Mini despite a similar length. BMW is seriously considering selling the car under a new label. Some observers talk about a possible revival of the Isetta brand. The car would be built by Magna-Steyr which will also build the future Mini Crossman. However, engines and powertrains would still be built by BMW.
