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BMW Group Announces Global Expansion For Next-Gen Electric Vehicle Batteries
The BMW Group is significantly expanding its production network for high-voltage batteries to support the new era of fully electric driving with the Neue Klasse. Milan Nedeljković, Board Member for Production at BMW AG, stated, "We are setting up five facilities on three continents to produce our sixth-generation high-voltage batteries." These facilities will be located in Germany, Hungary, China, Mexico, and the USA.
In Germany, the new battery assembly plant in Irlbach-Straßkirchen will supply high-voltage batteries to local car plants. The facility received construction approval in April 2024, and by June 2024, the first concrete pillars were erected. This development followed a referendum where over 75% of Straßkirchen citizens voted in favour of BMW's presence.
BMW's strategy of "local for local" ensures that battery production is closely linked with vehicle manufacturing. Markus Fallböhmer, Senior Vice President of Battery Production at BMW AG, explained that this approach enhances production resilience and reduces carbon footprints by shortening distances between battery and vehicle plants.
The first Neue Klasse vehicles will be produced at BMW's new plant in Debrecen, Hungary, starting in 2025. High-voltage battery and vehicle manufacturing will commence simultaneously. The training centre has been operational since autumn 2023, and the communications centre since February 2024. Employees are already preparing for their roles across various locations within BMW's production network.
From 2026, Neue Klasse vehicles will also be manufactured by BMW Brilliance Automotive (BBA) in Shenyang, China. The production hall was completed in November 2023, with machinery installation beginning in March 2024. The first pre-series batteries are expected to roll off the line by the end of this year.
In Mexico, additional capacity is being built at San Luis Potosí for series production of the Neue Klasse starting in 2027. Construction began in May 2024 and will cover over 80,000 square metres upon completion. The bodyshop will expand to more than 90,000 square metres while vehicle assembly and logistics spaces will grow by nearly 10,000 square metres.
Developments in the USA
Electromobility is advancing rapidly in South Carolina with the establishment of BMW Group Plant Woodruff. Covering about 93 hectares, it includes a technology building, ancillary structures, an energy centre, a staff restaurant, and a fire department. Over 300 new jobs will be created once construction completes in 2026. Woodruff will assemble high-voltage batteries for electric cars made at nearby Plant Spartanburg.
The ground-breaking ceremony for Woodruff’s training centre took place in June 2023. This facility underscores BMW’s commitment to expanding its electromobility footprint within the United States.
Research and Development Efforts
BMW has concentrated its battery expertise within Germany at facilities like the Cell Manufacturing Competence Centre (CMCC) in Parsdorf and the Battery Cell Competence Centre (BCCC) in Munich. These centres focus on developing prototype battery cells for models like the Neue Klasse launching in 2025. They ensure close collaboration across divisions such as Development, Purchasing and Production to scale up products for series production.
Additionally, pre-series plants and pilot lines for future high-voltage batteries operate within Munich and nearby towns like Parsdorf and Hallbergmoos. This integrated approach helps streamline product development processes.
The BMW Group remains a leading premium manufacturer globally with brands like BMW, MINI, Rolls-Royce and BMW Motorrad under its umbrella. In 2023 alone, it sold over 2.55 million passenger vehicles and more than 209 thousand motorcycles worldwide.
The company’s success stems from long-term thinking combined with responsible actions focusing on sustainability throughout its supply chain to product lifecycle management.
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