Saturday, July 27, 2024

BMW Shifts Focus to EV Production, Invests €650 Million in Munich Plant Upgrade

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German automaker BMW is steering towards a significant transition to electric vehicle (EV) production, announcing the cessation of gas-powered vehicle manufacturing at its Munich plant. The company plans to invest €650 million in updating the factory, incorporating four new buildings, including a dedicated EV assembly line.

Starting in 2026, BMW intends to commence production of the Neue Klasse, exclusively dedicated to electric vehicles, at the Munich plant. By the conclusion of 2027, the facility is slated to become the sole producer of all-electric vehicles, marking it as the company’s “parent plant.”

See also: BMW Achieves Record-breaking Annual Sales in 2023, Electric Vehicle (EV) Growth Soars with 74.4% Surge

While BMW remains committed to building combustion engine vehicles, those production lines have been relocated to a plant outside Birmingham in the United Kingdom.

Approximately 12,000 workers at the Munich plant have undergone training for various production roles, with some employees offered opportunities to transition to new positions at alternative plant locations, according to a BMW statement.

Milan Nedeljkovic, a board member overseeing production at BMW, emphasized the Munich plant’s transformation as a testament to the company’s adaptability and embrace of modern automotive technology.

“The Munich plant is an excellent example of our ability to adapt. Last year alone, six all-electric models went into production. At the same time, we also set a production record, proving that we are simultaneously able to both deliver and shape the future in our production network,” stated Nedeljkovic.

See also: BMW Trademarks “iM3” Hinting at Potential Electric Future for Iconic Model

Peter Weber, Director of the Munich Plant, acknowledged the facility’s historical significance but affirmed the necessity to embrace an electric future, particularly considering the rapid shift in the European market towards electric powertrains.

“We are delighted to be guiding the Munich plant into a fully-electric future,” added Weber. The strategic move by BMW reflects the broader industry trend towards electric mobility and positions the Munich plant at the forefront of the company’s EV production ambitions.

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