BMW Might Build a Plant in the US for Manufacturing Engines and Gearboxes
According to BMW officials, the company considers the possibility of building the 2-nd plant for production of engines and gearboxes.
It is well-known that currently BMW
manufactures most of its crossovers in the USA, its biggest production facility
is located in South Carolina. But not everyone knows that the engine and
gearbox units for these vehicles are still manufactured in Germany and
delivered to the US. Some customers think that crucial car components, produced
in Germany, enhance durability and efficiency of their cars thanks to their
high quality. While others, consider it as a ‘deceit’ as they want a 100 %
American car.
But for the German auto giant itself the
problem has an economic nature - transportation and logistics services are
quite expensive. Due to the fact that the production volume at the American
plant has been significantly increased over the last years, it becomes clear
why BMW reviews the possibility of building the facility for manufacturing
engines and gearboxes in order to reduce costs.
BMW CEO Harald Krueger
It is not clear whether this move from BMW is
somehow related to the intention of the US President to impose tariffs on imported
passenger cars. Moreover, this measure will allow BMW to send engines and gearbox
units to its new manufacturing facility in Mexico, thereby changing the
existing route of car components import.
The Mexican plant will be manufacturing a wide range of models starting 2019. The facility will manly focus on production of the new 3 Series (annual output will reach approximately 175 thousand units), and a wide range of engine options.
