Dive Brief:
- BMW Group plans to open five battery factories near existing auto manufacturing facilities to support its next-generation Neue Klasse electric vehicles, according to a Tuesday press release.
- Assembly plants for the sixth-generation, high-voltage batteries are under construction in Woodruff, South Carolina; Irlbach-Strasskirchen, Lower Bavaria; Debrecen, Hungary; Shenyang, China; and San Luis Potosí, Mexico.
- Close proximity between the battery and auto plants will help BMW increase production resilience, maintaining its “local for local” strategy, the automaker said.
Dive Insight:
BMW broke ground on its $700 million battery assembly plant in Woodruff last summer and construction is expected to be complete in 2026. The batteries made in Woodruff will support the production of fully electric vehicles made in nearby Spartanburg, the company said.
However, the first Neue Klasse vehicles will be produced at BMW’s new plant in Debrecen starting in 2025. High-voltage battery and vehicle manufacturing will launch simultaneously.
The company started construction on the Irlbach-Strasskirchen facility in June, which will support its vehicle manufacturing facilities in Germany. Neue Klasse models will also be manufactured in Shenyang beginning in 2026. Outside of Germany, China is home to BMW’s largest R&D network with four facilities.
Construction at San Luis Potosí began in May. Once completed, BMW will be the first premium OEM to manufacture fully electric cars and high-voltage batteries in Mexico, the company said.
The first models of the Neue Klasse will be a sports activity vehicle and a sedan in the current 3 Series segment, BMW said in a February press release. At least six Neue Klasse models are expected to launch within the first 24 months after the start of production.
The Neue Klasse will be the first to incorporate all-new cylindrical cells, offering vastly improved energy density, charging times and range, according to Tuesday’s release.
