BMW invests $1.7 billion to build EVs in the US
The BMW Group continues the roll-out of its electromobility plan with a new investment in the US to expand Plant Spartanburg and the company’s manufacturing footprint in the US.
The USD 1.7 billion investment in the group's US operations, includes USD 1 billion to prepare for the production of electric vehicles at the company’s existing US manufacturing facility in South Carolina, and USD 700 million to build a new high-voltage battery assembly facility in nearby Woodruff, South Carolina. By 2030 BMW Group says in a press release that it will build at least six fully electric models in the US.
In line with the principle of "local for local,” the BMW Group aims to purchase battery cells for its electric vehicles where production takes place. The company has found a partner in Envision AESC, which will build a new battery cell factory in South Carolina, to supply Plant Spartanburg. Envision will produce newly developed round lithium-ion battery cells, which were specifically designed for the sixth generation of BMW eDrive technology, and will be used in the next generation electric vehicles, the press release continues. The annual capacity of the battery cell factory will be up to 30 GWh.
The cooperation with Envision AESC is described as an important step in the German carmaker's plan to strengthen its regional supply chains. The expansion of electric vehicle production in combination with a local battery cell factory will lead to the creation of new supply chains, new networks for sub-suppliers, and new jobs throughout the entire region.
BMW Group has already announced that four additional battery cell factories will be built in Europe and China to meet its demand for next-gen battery cells. The cell factories are being built by partners and will each have an annual capacity of up to 20 GWh.
The new facility near Woodruff will encompass over 1 million square feet, and produce next-gen batteries for fully electric vehicles. Around 300 new jobs will also be created on-site.