The BMW Group introduced on Wednesday that it will double its manufacturing capability for electrical automobile batteries at its U.S. plant in South Carolina because it ramps up manufacturing of plug-in hybrid automobiles to incorporate the X3 SUV automobile along with the X5.
The Spartanburg, South Carolina plant, which opened in 1992, is BMW’s largest meeting plant by quantity and produces the automaker’s X lineup of SUVs destined for the worldwide market.
BMW mentioned it was investing $10 million in a brand new battery meeting line which shall be able to working in a two shift system forward of the introduction of the primary ever BMW X3 plug in hybrid mannequin which is anticipated to go on sale later this yr.
BMW mentioned the brand new EV battery meeting line will be capable to produce several types of fourth-generation batteries as wanted, to serve the rising vary of electrified automobiles domestically together with the X3 and X5 plug-in hybrid fashions. BMW mentioned these batteries shall be primarily based on a brand new expertise idea that improves efficiency.
“We’ve invested round ten million US dollars in a brand new battery meeting line and expanded the world to greater than eight,000 sq. meters. This implies we might double the variety of batteries produced if wanted to satisfy market demand,” mentioned Michael Nikolaides, Senior Vice President Engines and Electrified Drivetrains, BMW Group.
BMW produced 15,000 batteries final yr with a one shift system and at present produces a plug-in hybrid model of the X5 SUV. A brand new model of the X5 shall be produced on the Spartanburg plant starting in August, the corporate mentioned.
“The BMW X5 and BMW X3 are at present among the many top-selling BMW fashions within the U.S. We count on their plug-in hybrid variants to be simply as widespread with clients.” mentioned Knudt Flor, President and CEO, BMW Manufacturing, Co., LLC.
A BMW employee assembles a battery pack on the automaker’s Spartanburg meeting plant in South Carolina.
BMW has been producing batteries at Plant Spartanburg since 2015. Up to now 4 years, BMW mentioned the plant’s battery meeting staff has produced a complete of greater than 45,000 batteries.
BMW mentioned it deliberate to make use of 120 workers to fabricate several types of batteries, and the extra workers gave it the capability to double manufacturing.
Germany’s automakers, together with BMW, Volkswagen and Daimler need to safe a steady provide of EV batteries for his or her upcoming electrical fashions, together with constructing their very own. The automakers are involved about changing into too reliant on Asian suppliers for EV batteries.
BMW rival Daimler is investing multiple billion euros in a world battery manufacturing community. The corporate plans to buy the cells from varied world suppliers. Presently Daimler has provide offers in place with Korea’s SK Innovation, LG Chem and China’s Up to date Amperex Expertise Ltd.(CATL).
BMW has a seperate deal with CATL to produce EV batteries.
The BMW Group at present has three battery services worldwide, together with the Competence Heart for E-drive Manufacturing at BMW Group Plant Dingolfing in Germany, the Spartanburg plant and at Plant Powertrain of its China three way partnership, BMW Brilliance Automotive.
The BMW Group’s battery analysis plant is situated in Munich.