From AutoIndustry.co.uk

BMW will invest €14 million in expanding capacity at its engine plant in Steyr, Austria, to accommodate rising demand for diesel engines, according to the Austrian paper Der Standard of 15 February. Work on the plant is expected to be completed by the end of next year.

BMW is seeking to expand its diesel offering in the U.S. market, and also faces the need to decrease its average CO2 emissions under projected EU regulations requiring average fleet emissions of 130 g/km by 2012.