BMW decision on second North America site location out before summer break

Article by Christian A., on June 26, 2014

BMW Group is still deciding where it would build its second facility in North America, chief executive Norbert Reithofer said, adding that a decision will be out before the summer break. BMW is considering building manufacturing sites in in countries signatories to the North American Free Trade Agreement. NAFTA countries include the United States, Canada and Mexico.

BMW disclosed in March that it would ramp up annual production capacity at its Spartanburg plant in South Carolina as it bids to reduce its reliance on Europe. BMW has been trimming the choices for the location, with two sites in Mexico under consideration, sources told Automotive News in April.

A report in by German daily Handelsblatt in May said that the carmaker is considering producing 3-series and 1-series cars – as well as Mini models -- at a new site in Mexico. The carmaker has quipped that it would need a new site in North America to stave off challenges from Audi and Mercedes-Benz.

The three German carmakers are all aiming for record deliveries this year, banking on growth in China and the United States. All three are expanding their manufacturing capacity to better fare with increasing demand. Mercedes builds SUVs at its Vance facility Alabama while Audi currently does not have output in North America, but is building a new site in San Jose Chiapa, Mexico.

Audi’s site will start building the Q5 SUV in 2016. Daimler CEO Dieter Zetsche, meanwhile, remarked in February it may build a new plant in North America to add capacity as part of a plan to introduce 30 new models by 2020.

In March, BMW disclosed plans to invest $1 billion for expanding its South Carolina site, allowing it to produce up to 450,000 vehicles annually by 2016. The site will start soon produce large SUV dubbed as the X7. Once the expansion is complete, the South Carolina site will surpass BMW’s Dingolfing plant in Germany as its largest facility in the world. [source: automotive news - sub. required]

Topics: bmw, norh america

If you liked the article, share on:

Comments

Recommended

BMW just keeps on getting bigger and bigger, in terms of their lineup I mean. Just after unveiling the 8 Series Concept, they are now teasing us with an M8...
by - May 29, 2017
Ford's prized SUV, the Ford Expedition, is considered as a popular pick in the full-sized SUV category. Now, the American automaker has implemented a timely redesign to its most valued...
by - May 29, 2017
You probably heard about Ford’s CEO Mark Fields’ departure from the company. Fields has spent almost three years with the company, and now, he is going to be replaced by...
by - May 28, 2017
A racing team is claiming that it has managed to break the lap record in its category in the ever-demanding Nurburgring circuit in 2016 while driving a road-going Volvo S60...
by - May 27, 2017
Aside from the officially confirmed BMW 8 Series, the next generation BMW M5 (F90) is getting a lot of attention from the fans, enthusiasts and even potential customers around the...
by - May 27, 2017
Facebook

Youtube Channel

Tip Us
Do you have a tip for us?
Did you film an important event?
Contact us
Newsletter
Subscribe to our newsletter!
Subscribe
Galleries