AC Schnitzer avoids closure with a fresh start under Dutch ownership
AC Schnitzer, which made its name tuning BMWs, will not close at the end of the year. Its current owner, KOHL Group, is selling the brand to Dutch company AM Group, which promises to continue both product development and international operations. The deal is expected to be completed in November.
As recently as March, the fate of AC Schnitzer, founded in 1987, seemed fairly clear. KOHL announced that it would stop producing tuning parts by the end of 2026 because the business was no longer economically viable in Germany. According to the company, product development, higher production costs and lengthy type-approval processes were driving up costs. Some parts could reach the market eight or nine months later than competitors' products.
US tariffs, rising raw material costs, exchange-rate fluctuations, a weak global economy and the gradual retreat of internal combustion engines made the situation more difficult. KOHL planned to sell off its existing stock of BMW and MINI parts by the end of the year, but even then left open the possibility of transferring the brand to a new owner.
The new owner comes from the same industry
Rotterdam-based AM Group is not simply a financial investor from outside the industry. The group brings together vehicle personalisation and aftermarket businesses, with a portfolio that includes Urban Automotive, UBC Composites, GP Products and Absolute Motors. Along with the AC Schnitzer name, the new owner will acquire technical documentation, TÜV approvals, the dealer network and expertise accumulated over decades.
AC Schnitzer's new head will be Imran Arshad, known as a co-founder of Evolve Automotive and Eventuri, which makes carbon-fibre intake systems. The appointment offers a fairly clear indication that AC Schnitzer will not become merely a brand used to license old wheel and aerodynamic component designs.
AM Group promises to invest in product development, design and international growth. The company has not yet officially announced which BMW and MINI models it will work on first.
The electric era is changing the tuning business
AC Schnitzer's reprieve is significant for Europe's tuning industry. The company built its reputation at a time when extracting extra power from a BMW turbocharged engine, retuning the suspension and replacing the exhaust system accounted for much of its business.
With electric cars, that model changes. Rather than engine control unit tuning and sports exhausts, the emphasis shifts to aerodynamics, wheels, suspension, weight and handling.
That is precisely why AC Schnitzer's next chapter will be more interesting than simply saving a 39-year-old name. Its new owner must prove that a traditional BMW tuning specialist can still find work in an era when there is not necessarily anything left to tune under the bonnet.
