The new Mini is to be built in Holland as well as the UK, owner BMW has announced.
The German motor giant said production of the Mini Hatch will be split between its factory in Oxford and a site in Nedcar in Born.
Around 1,500 workers will build the new Mini in Holland from this summer at a factory run by BMW's Dutch partner VDL Nedcar.
Head of production Harald Kruger said: "The Mini brand is showing substantial growth. This is why we need additional, external production capacity on top of the capacity of the Mini plant in Oxford which stands at about 260,000 units per year in the medium term.
"VDL Nedcar has many years of experience in producing high quality vehicles, so the company is an ideal partner for us. At the same time, the UK production network is and will remain the heart of Mini production. Splitting production of the new MiniI Hatch between Oxford and Born will give us greater flexibility for other models."
The Oxford plant built almost 176,000 Minis last year.