After announcing the production of its first hybrid supercar, Bmw also announced today that it will invest 530 million euros ($751 million) in order to set up production of its Megacity Vehicle battery-powered city car. According to the manufacturer, the Leipzig plant will be expanded in order to be ready to handle the large-scale production of zero-emission electric cars.
Bmw will invest 400 million euros to expand the plant, but also to build a new carbon-fiber factory in the United States.
Bmw development chief Klaus Draeger said that the Megacity Vehicle will cost less than 60,000 euros or $84,000. The new Bmw Megacity Vehicle or MCV will be built only as a electric-only car, and will create jobs at the eastern German site.
Reithofer explained that by manufacturing the Megacity Vehicle in Germany, BMW Group was able to demonstrate its commitment to the country being a high-tech location. Reithofer added that through this vehicle, the brand is making sure that it is able to revolutionize both the design and production and therefore be able provide its customers with a purpose-built electric vehicle for the urban areas.
This model was expected to be the first volume-produced car that had a passenger compartment composed of lightweight CFRP, giving lighter weight and longer range, Reithofer shared. Reithofer further added that the company made sure that the car should be produced in Germany, especially at its Leipzig plant, its latest facility with flexible structures.
For the manufacturing of the car and the components, BMW Group invested €530 million for this project. This also included a joint venture in partnership with SGL Group to manufacture carbon fibers.
The different beneficiaries of this project include BMW's Leipzig and Landshut plants plus the facilities of the joint ventures like the one in Wackersdorf, Germany, and Moses Lake in Washington.
In addition, BMW's Dingolfing facility will make the components needed for the drive system, as well as the chassis, of the MCV. It is expected that more than 1,000 jobs will be generated due to this investment.