BMW to Expand SC Factory, Paint Shop - Posted 3/12/08
BMW will invest an additional $750 million in its upstate South Carolina factory to add 1.5 million sq ft and 500 new jobs on site to produce three models and to increase production capacity to 240,000 units by 2012. The three-year construction project includes a new 1.2-million-sq-ft Assembly Facility north of the existing factory to accommodate the next generation BMW X3 Sports Activity Vehicle. In addition, the Paint Shop will expand by about 80% or 300,000 sq ft, and the existing Body Shops will be renovated.
BMW will invest an additional $750 million in its upstate South Carolina factory to add 1.5 million sq ft and 500 new jobs on site to produce three models and to increase production capacity to 240,000 units by 2012. The investment is the largest ever announced for the Spartanburg County factory, increasing investments of the BMW Group in its South Carolina operations to $4.2 billion.
The three-year construction project includes a new 1.2-million-sq-ft Assembly Facility north of the existing factory to accommodate the next generation BMW X3 Sports Activity Vehicle. In addition, the Paint Shop will expand by about 80% or 300,000 sq ft, and the existing Body Shops will be renovated. The additional investment will prepare the factory to increase production from 160,000 units to 240,000 units.
The expansion of the Spartanburg plant also means a bigger purchase and export volume in and from the NAFTA region, which reportedly will contribute considerably to the company’s natural hedging position. After the expansion, the Spartanburg plant will manufacture the BMW X3, X5 Sports Activity Vehicle and X6 Sports Activity Coupe and their respective variants for world markets.
“Centralizing our know-how for BMW X models in Spartanburg will enable us to work more efficiently, thus supporting our long-range corporate strategy. In addition, it was a logical step for the BMW Group as a global player to increase production capacity in its largest market,” said BMW Board Member Frank-Peter Arndt.
A highlight will be the production of a diesel X5 Sports Activity Vehicle for the U.S. market starting later this year.
“The boost in the production capacity at BMW Manufacturing will positively impact the logistics, supplier and distribution networks that support the manufacturing processes,” said Josef Kerscher, president of BMW Manufacturing.
While the supplier network may grow, existing supplier companies will ramp up operations to provide automotive parts for the higher production levels, doubling parts container traffic and significantly increasing exports through the Port of Charleston.
BMW’s website is at www.bmwgroup.com.
BMW will invest an additional $750 million in its upstate South Carolina factory to add 1.5 million sq ft and 500 new jobs on site to produce three models and to increase production capacity to 240,000 units by 2012. The investment is the largest ever announced for the Spartanburg County factory, increasing investments of the BMW Group in its South Carolina operations to $4.2 billion.
The three-year construction project includes a new 1.2-million-sq-ft Assembly Facility north of the existing factory to accommodate the next generation BMW X3 Sports Activity Vehicle. In addition, the Paint Shop will expand by about 80% or 300,000 sq ft, and the existing Body Shops will be renovated. The additional investment will prepare the factory to increase production from 160,000 units to 240,000 units.
The expansion of the Spartanburg plant also means a bigger purchase and export volume in and from the NAFTA region, which reportedly will contribute considerably to the company’s natural hedging position. After the expansion, the Spartanburg plant will manufacture the BMW X3, X5 Sports Activity Vehicle and X6 Sports Activity Coupe and their respective variants for world markets.
“Centralizing our know-how for BMW X models in Spartanburg will enable us to work more efficiently, thus supporting our long-range corporate strategy. In addition, it was a logical step for the BMW Group as a global player to increase production capacity in its largest market,” said BMW Board Member Frank-Peter Arndt.
A highlight will be the production of a diesel X5 Sports Activity Vehicle for the U.S. market starting later this year.
“The boost in the production capacity at BMW Manufacturing will positively impact the logistics, supplier and distribution networks that support the manufacturing processes,” said Josef Kerscher, president of BMW Manufacturing.
While the supplier network may grow, existing supplier companies will ramp up operations to provide automotive parts for the higher production levels, doubling parts container traffic and significantly increasing exports through the Port of Charleston.
BMW’s website is at www.bmwgroup.com.
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