[Jason]

BIMMERPOST NEWS

BMW Spartanburg Becomes Largest Production Location Within 25 Years

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• Currently over 9,000 employees, creation of further 1,000 jobs by 2021
• US $ 8 billion invested since announcement of the plant, further US $ 600 million from 2018 to 2021
• Maximum production capacity of 450,000 units
• Around 70 percent for export
• World premiere of new BMW X3, BMW X7 coming in 2018

Munich/Spartanburg. June 26, 2017... The BMW Group has been a committed “local player” in the US market for a quarter-century: On 23 June 1992, the BMW Group announced its decision to build its US plant in Spartanburg, South Carolina. Continuous expansion of the plant with extensive additions and the decision to build the successful BMW X models in Spartanburg have made the plant the largest manufacturing facility in the BMW Group production network within the space of 25 years. During the ceremony to mark the anniversary, the all-new BMW X3 rolled off the production line in Spartanburg. More than 1.5 million BMW X3 vehicles have been delivered to customers worldwide since it was first launched at the end of 2003. The new BMW X3 will be launched in fall 2017.

Harald Krüger, Chairman of the Board of Management of BMW AG, stated at the ceremony: “The BMW Group’s success story in the US would not have been possible without the open arms and warm hearts of the people and elected officials in the great state of South Carolina and the surrounding region. Our relationship with South Carolina has been built upon decades of professionalism, mutual trust and respect – and goes far beyond just building great cars.”

The BMW Group has invested eight billion US dollars in the production location to date and produced around 3.9 million vehicles since going online on 8 September 1994. “From 2018 to 2021 we will invest further 600 million US dollars in manufacturing infrastructure for future generations of the BMW X models,” said Harald Krüger. At present, the plant is getting ready for production of the all-new BMW X7, which will be launched onto the market in late 2018.

The BMW Group produces BMW X models in Spartanburg for the US and global markets. With record production of more than 411,000 units in 2016, Spartanburg is the largest BMW Group plant worldwide. Around 1,400 BMW X3, X4, X5, and X6 vehicles come off the assembly line every working day. Maximum production capacity is 450,000 vehicles per year.

Around 70 percent of the vehicles produced in Spartanburg are exported to more than 140 countries worldwide. According to the US Department of Commerce, the BMW Group is the largest vehicle exporter from the US in terms of monetary value. In 2016, 287,700 BMW vehicles with a total value of more than 10 billion US dollars were exported from Spartanburg: 86 percent were shipped from the Port of Charleston, with the remaining 14 percent dispatched from five other ports in the Southeastern United States.

The BMW Group has 235 local suppliers in the US. In 2016, 80 percent of the BMW Group’s purchasing volume in the NAFTA area originated in the US. The US is the company’s second-largest purchasing market, after Germany, and accounts for 5.2 billion euros.

Harald Krüger: “Free trade has made this success story in the US possible. I firmly believe in free trade and open markets. It is essential for global businesses and economies around the world to flourish. We will keep investing in our people and in our business in the US. Therefore, I remain confident that our footprint and commitment will continue to grow not only in the great state of South Carolina, but also in the United States in the years to come.”

The Spartanburg plant employs more than 9,000 people. “By 2021we will create further 1,000 jobs,” stated Harald Krüger. “Training and qualifying our associates is key to our future success.” Training at the plant is based on the German dual apprenticeship training system that combines classroom learning with practical experience. In the past ten years, the BMW Group has invested more than 220 million US dollars in vocational and continued training at its Spartanburg facility, with another 200 million US dollars planned over the next five years. The training programs are run in cooperation with local colleges. The “BMW Scholars” apprenticeship program launched in 2011 is currently preparing around 100 apprentices for their careers within the plant.

According to an independent study of University of South Carolina (Moore School of Business), the nationwide economic impact of BMW Group Plant Spartanburg is 38.5 billion US dollars annually.

[mkoesel]

It is interesting that they specifically mention the X7 for late 2018. Current intel also says that both the X4 and X5 will also be refreshed in 2018. The X4 comes in April while the X5 comes in July. That is a lot of activity for the factory in one year. With the X2 (though not a Spartanburg product) also launching late this year and sales starting early next, 2018 is clearly the year of the SAV for BMW (yet, we still get the new Z4 and 3 Series next year too - its going to be a huge year).

[MalibuBimmer]

Thank God this wasn't a typical press release. If it had been, there would have been 30,000 more words, describing every room and every piece of office furniture in every room in excruciating hyperbolic detail.

[sand99]

Originally Posted by mkoesel

It is interesting that they specifically mention the X7 for late 2018. Current intel also says that both the X4 and X5 will also be refreshed in 2018. The X4 comes in April while the X5 comes in July. That is a lot of activity for the factory in one year. With the X2 (though not a Spartanburg product) also launching late this year and sales starting early next, 2018 is clearly the year of the SAV for BMW (yet, we still get the new Z4 and 3 Series next year too - its going to be a huge year).

I noticed that too. Is it possible that the current info on the X5 is wrong, and that the X7 is coming first, with X5 in 2019?

[mkoesel]

Originally Posted by sand99

I noticed that too. Is it possible that the current info on the X5 is wrong, and that the X7 is coming first, with X5 in 2019?

Yes, that's always a possibility. On the more typical 7 year trajectory, the X5 would have been good until 2020. So even if it is pushed into 2019 that's still a shortened lifecycle. The question is, can BMW afford to do that? SUV's are hot right now in the US and BMW needs fresh product to keep in the race. X5 sales have been hit or miss.

SCOTT26 has also mentioned that by the end of next year the X1 will be the oldest SAV. However, with the new X6 not currently scheduled until 2019, that info isn't strictly correct. But if you interpret his words to mean the core odd-numbered products, the X5 would be expected on the current schedule for mid next year.

[Law]

Originally Posted by MalibuBimmer

Thank God this wasn't a typical press release. If it had been, there would have been 30,000 more words, describing every room and every piece of office furniture in every room in excruciating hyperbolic detail.

Well done sir.
You've successfully described the moment of when we were exposed to the "6-series GT" press release

[fbsm]

Whats up with the wheel arches on the new X3?

[sand99]

Originally Posted by mkoesel

Yes, that's always a possibility. On the more typical 7 year trajectory, the X5 would have been good until 2020. So even if it is pushed into 2019 that's still a shortened lifecycle. The question is, can BMW afford to do that? SUV's are hot right now in the US and BMW needs fresh product to keep in the race. X5 sales have been hit or miss.

SCOTT has also mentioned that by the end of next year the X1 will be the oldest SAV. However, with the new X6 not currently scheduled until 2019, that info isn't strictly correct. But if you interpret his words to mean the core odd-numbered products, the X5 would be expected on the current schedule for mid next year.

Yeah, and I do remember him saying in the past that either 2017 or 2018 would be the year of the SAV as you said in your first post. Just seems hard to imagine they'd launch all-new X5 and X7 in such a short timeframe. And today's PR suggests that the next product is the X7 coming late 2018 (although obviously they missed the X4).

[mkoesel]

Originally Posted by sand99

And today's PR suggests that the next product is the X7 coming late 2018 (although obviously they missed the X4).

Yeah, I think they may have highlighted the X7 because its a completely new vehicle being added rather than a redesigned existing vehicle.

[Dackelone]

Originally Posted by fbsm

Whats up with the wheel arches on the new X3?

It might be to meet TUV standards in Germany. Any vehicle's tires can not protrude outside of the wheel housings. Just a guess though. Don't forget that Spartanburg produces for ALL markets, not just for the USA.

Dackel

[raysspl]

Awesome stuff

[MalibuBimmer]

Originally Posted by Law

Well done sir.
You've successfully described the moment of when we were exposed to the "6-series GT" press release

Indeed, all BMW press bloviations: http://f92.bimmerpost.com/forums/sho...4&postcount=91

[ORIGIN M.]

Originally Posted by Dackelone

It might be to meet TUV standards in Germany. Any vehicle's tires can not protrude outside of the wheel housings. Just a guess though. Don't forget that Spartanburg produces for ALL markets, not just for the USA.

Dackel

BMW isn't playing around are they.

Mercedes is copying big time.

Bless MB little heart.

[IntegraXTR]

what does this guy look like he's wearing a wedding band on lol

[ORIGIN M.]

Originally Posted by IntegraXTR

[img]http://x3.xbimmers.com/forums/attach...0&d=1498581129[/img]

what does this guy look like he's wearing a wedding band on lol

Because it is a staged picture. I doubt he'd wear it otherwise as it compromises his own safety. And clearly what you are pointing out as well.

[BMWM5NYC]

Originally Posted by ORIGIN M.

Because it is a staged picture. I doubt he'd wear it otherwise as it compromises his own safety. And clearly what you are pointing out as well.

Actually I think it is a Tattoo. Some people get tattooed rings instead of the traditional gold band.

[doccyber]

OMG. With all these X SAVs, when is the X9 coming?

[ORIGIN M.]

You know I was thinking that too. I'd never have to remove it, but not sure what I'd do if I ever got divorced. Haha

Originally Posted by BMWM5NYC

Actually I think it is a Tattoo. Some people get tattooed rings instead of the traditional gold band.

[Danyutz]

Originally Posted by Jason

Attachment 1647262

Pip-Boy!

[IB M]

Great story. That something to be proud of for the good ole USA.

AND the Performance Center!!!

[3rdcoast228i]

Originally Posted by IntegraXTR

what does this guy look like he's wearing a wedding band on lol

It could be a silicon band. It's common in industry