BMW plans to invest $1.7 billion in U.S. to produce electric vehicles

The BMW Group has announced a $1.7 billion investment in its U.S. operations, including $1 billion to prepare for the production of electric vehicles at the company’s existing manufacturing facility in South Carolina.

The BMW Group has partnered with Envision AESC to build a new battery cell factory in South Carolina. The new factory will produce round lithium-ion battery cells, which were specifically designed for the sixth generation of BMW eDrive technology. The annual capacity of the factory will be up to 30 GWh.

The new battery format will increase energy density by more than 20 percent, improve charging speed by up to 30 percent, and enhance range by up to 30 percent. CO2 emissions from cell production will be reduced by up to 60 percent.

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 generation battery cells. The cell factories are being built by partners and will each have an annual capacity of up to 20 GWh.

Of the new $1.7 billion investment announced, $700 million will be used to build a new high-voltage BMW battery assembly center in Woodruff, SC, near Plant Spartanburg. The new facility will encompass over 1 million sq. ft., and produce next generation batteries for fully electric vehicles.

Plant Spartanburg currently produces lithium-ion battery modules for the two plug-in hybrid electric vehicles built at the plant, the BMW X3 xDrive30e and BMW X5 xDrive45e. In 2021, nearly 70,000 electrified BMWs were built on site. 

Source: BMW