According to Oliver Zipse, BMW Group Chairman of the Board of Management, they will invest $1.7 billion in their U.S. operations. Of this amount, $1 billion will be used to prepare their existing U.S. manufacturing facility in South Carolina for the production of electric vehicles. The rest will go into building a new high-voltage battery assembly facility. Thanks to these investments, the BMW Group estimates that they will build at least six fully electric models in the United States by 2030.
In a speech given at Plant Spartanburg in South Carolina, Zipse described it as a cornerstone of the BMW Group’s global success as it is the home of its BMW X models. As a significant driver for their electrification strategy Plant Spartanburg will also become what Zipse describes as the “Home of the Battery Electric Vehicle.” Zipse also elaborated on the BMW Group’s “local for local” principle, whereby it is aiming to purchase battery cells for its electric vehicles where production takes place. To accomplish this, they are partnering with Envision AESC, which is building a new battery cell factory in South Carolina for the purpose of supplying Plant Spartanburg. The factory will produce newly developed round lithium-ion battery cells. These are designed specifically for the sixth generation of BMW eDrive technology and for use in the next generation of electric vehicles.
Some of the highlights of the new battery format include increased energy density, improved charging speeds, and enhanced range. In addition, thanks to the partial use of secondary lithium, cobalt, and nickel materials, the CO2 emissions from cell production will drop by up to sixty percent. This is in line with the BMW Group’s initial target of reducing CO2 emissions by 40% per vehicle by 203 as part of their goal of climate neutrality. In addition to the South Carolina battery cell factory, which will have an annual capacity of up to 30 GWh, BMW Group has also previously announced that it is building four additional battery factories. These will be built by partners in Europe and China to meet the demand for next-generation battery cells and will each have an annual capacity of up to 20 GWh.
The full press release, which also features a breakdown of the BMW Group’s 360-degree approach to reducing CO2 emissions, can be viewed here (https://www.press.bmwgroup.com/global/article/detail/T0404837EN/bmw-group-announces-1-7-billion-usd-investment-to-build-electric-vehicles-in-the-u-s-and-signs).
