The US will play a big role in future roll-out of BMW Group’s electromobility plan as the German carmaker announced $1.7 billion new investment in the country.
By 2030, the group plans to build at least six fully electric models in the US. The investment in its US operations includes $1 billion to prepare for the production of electric vehicles at its existing manufacturing facility in Plant Spartanburg in South Carolina, and $700 million to build a new high-voltage battery assembly facility in nearby Woodruff.
Oliver Zipse, CEO of BMW USA, said: “For decades, Plant Spartanburg has been a cornerstone of the global success of the BMW Group. It is the home of the BMW X models that are so popular all over the world. Going forward, it will also be a major driver for our electrification strategy, and we will produce at least six fully electric BMW X models here by 2030.
“That means: The ‘Home of the X’ is also becoming the ‘Home of the Battery Electric Vehicle’. In addition, we can showcase BMW Group’s ‘local for local’ principle: Our newly developed sixth generation battery cells, which were specifically designed for the next generation electric vehicles, will be sourced here in South Carolina.”
The automaker aims to purchase battery cells for its electric vehicles where production takes place, and it has found a partner in Envision AESC, which will build a new battery cell factory in South Carolina, to supply Plant Spartanburg. Envision will produce newly developed round lithium-ion battery cells, which were specifically designed for the sixth generation of BMW eDrive technology. The annual capacity of the battery cell factory will be up to 30 GWh.
The new battery format will increase energy density by more than 20 percent, improve charging speed by up to 30 percent and enhance range by up to 30 percent.
The cooperation with Envision AESC is an important step in the company’s plan to strengthen its regional supply chains. The expansion of electric vehicle production in combination with a local battery cell factory will lead to the creation of new supply chains, new networks for sub-suppliers, and new jobs throughout the entire region.
The new high-voltage BMW battery assembly center in Woodruff will encompass over 1 million sq. ft. and also create 300 new jobs on site.
The automaker has already announced that four additional battery cell factories will be built in Europe and China to meet its demand for next-generation battery cells. The cell factories are being built by partners and will each have an annual capacity of up to 20 GWh.
Plant Spartanburg was established 30 years ago and began producing vehicles two years later. Since then, the plant has become the global center of competence for BMW Sports Activity Vehicles and a critical component of the company’s global production network. The plant currently represents an investment of nearly $12 billion, employs more than 11,000, and has an annual capacity of up to 450,000 vehicles. To date more than six million BMW vehicles have been built in the US.
It currently produces 11 models including the BMW X3, X4, X5, X6 and X7 Sports Activity Vehicles, four BMW M models and two plug-in hybrid electric models. Production of the all-new hybrid electric BMW XM will begin later this year.
Follow us on
