The top three luxury-car makers -- BMW AG, Daimler AG and Audi AG -- will expand factories in the U.S. and Europe in 2011 to help them cope with record demand for their vehicles. For 2011, Volkswagen AG's Audi plans to boost production to build more cars and vehicles than in 2010, wherein it produced 1.15 million units.
Audi is aiming to overtake BMW and be the world's bigger maker of premium vehicles by 2015. BMW and Daimler's Mercedes-Benz also intend to expand plants in the U.S. and Germany.
Juergen Pieper, a Frankfurt-based analyst with Bankhaus Metzler, said that the top three are “poised for further growth.” He is convinced that the momentum in luxury markets will continue this year and in 2012. He believes that carmakers should consider it a “necessity” to prepare for this growth.
Germany's luxury automakers are gaining due to increased deliveries in China and the U.S. and as the global economy recovers from the recession. Audi aims to spend 11.6 billion euros ($15.7 billion) through 2015 on plants and new models.
Since 2009, BMW has spent 1.5 billion euros alone on its German plants. Meanwhile, Daimler will soon open an 800 million-euro small-car plant currently being built in Hungary. Audi said that for 2011, it will roll out 13 new models and upgraded vehicles, including an updated version of its A6 sedan and the Q3 compact SUV.