- New BMW Group Plant Woodruff will produce high-voltage batteries
for fully electric BMW X models at Plant Spartanburg. - Investments of $ 700 million in the construction of the new Plant
Woodruff and $ 1 billion in Plant Spartanburg in preparation for
electric vehicle production - Local for Local: short distances between cell supplier, battery
assembly and vehicle production plant
Woodruff, S.C., U.S.A. – The BMW Group took a major
step today towards building electric vehicles in the United States as
it broke ground for a new high-voltage battery assembly plant in
Woodruff, South Carolina. The BMW Group Plant Woodruff will produce
sixth-generation batteries to supply fully electric vehicles at nearby
BMW Manufacturing in Spartanburg. More than 300 jobs will be created
onsite at Plant Woodruff with the opportunity to grow.
“We’re making the BMW Group electric. Our new battery assembly plant
in Woodruff will soon play an important role in our electric future
here in the USA,” said Ilka Horstmeier, Member of the Board of
Management of BMW AG responsible for People and Real Estate. “Through
the Woodruff plant, we expand our footprint in the state of South
Carolina. At the same time, we are taking our associates with us in
this transformation. Our new Technical Training Center at the
Spartanburg plant will prepare our 11,000 associates for the future.
In this way, we are taking responsibility as a reliable employer and
offer future-proof jobs at the same time.”
“Today’s groundbreaking is the start of a new era at Plant
Spartanburg as we prepare to produce fully electric BMW X models for
the world,” says Robert Engelhorn, president and CEO of BMW
Manufacturing in Spartanburg. “The road to the future begins here in
South Caronlina. Plant Woodruff will be state-of-the-art in terms of
sustainability, flexibility, and digitalization.”
Extensive Investments in Plants Spartanburg and Woodruff
In October 2022, BMW Group announced a new $1.7 billion investment in
its U.S. operations, including $1 billion to prepare Plant Spartanburg
for the production of fully electric vehicles and $700 million to
build a new high-voltage battery assembly plant. The Woodruff facility
will be about 100 acres in size that includes construction of a
technology building and support buildings such as a cafeteria, fire
department, and energy center.
Local for Local: Short Distances between Battery and Vehicle
Production.
“We are working consistently to advance the transformation to
electromobility”, says Markus Fallböhmer, Senior Vice President of
Battery Production at BMW AG. “Cutting-edge production facilities
for top-performance high-voltage batteries are a decisive factor in
this.” In expanding its production network, the company is
following the principle of local for local: “Close connection of
battery production with vehicle production is part of our
strategy,” explains Fallböhmer.
As part of the BMW Group’s “local for local” approach, the company
will purchase battery cells for its electric vehicles from partner
AESC, which is building a new 30 GWh battery cell factory in Florence,
South Carolina. They will produce newly developed round lithium-ion
battery cells, specifically designed for the sixth generation of BMW
eDrive technology. The new battery format will increase energy density
by more than 20 percent and improve charging speed and range by up to
30 percent.
The BMW Group is particularly focused on keeping the carbon footprint
and consumption of resources for production as low as possible,
starting in the supply chain. Cell manufacturers will use cobalt,
lithium and nickel that include a percentage of secondary material,
i.e. raw materials that are not newly mined, but already in the loop,
in production of battery cells. Combined with the commitment to use
only green power from renewable energies for production of battery
cells, the BMW Group will reduce the carbon footprint of battery cell
production by up to 60 percent.
High Ecological Standards: Binding CO2 when pouring concrete
As the next BMW iFACTORY, BMW Group Plant Woodruff will also meet
high ecological standards. The site will be operated without fossil
fuels and will use 100% green electricity. The BMW Group has set
itself the goal of reducing CO2 emissions in its global production
network by 80 per cent by 2030 compared to 2019. Plant roofs are being
prepared for the installation of photovoltaic systems. Intelligent LED
lighting with motion detectors and an efficient dimming strategy
reduce energy consumption and light emissions to a minimum. The
high-voltage battery assembly basically requires no water. Rainwater
is collected and used for purposes outside production. An innovative
technology that involves injecting captured CO2 into the
fresh concrete during the mixing process will be used in the
construction of the plant. This sequesters CO2 permanently
at a molecular level and increases the strength of the concrete.
BMW Group in South Carolina
Since 1992, the BMW Group has invested about $12.4 billion in its
South Carolina operations. BMW Manufacturing is the largest BMW Group
plant in the world, producing more than 1,500 vehicles each day. The
plant is an important part of BMW’s global production network and
plays a critical role in meeting the high demand for BMW Sports
Activity Vehicles and Coupes in the U.S. and around the world. Nearly
60 percent of its vehicles are shipped to about 120 global markets,
making BMW the largest automotive exporter by value in the United
States for nine consecutive years. In 2022, approximately 60 percent
of BMW vehicles sold in the U.S. came from Plant Spartanburg. The
factory has an annual production capacity of up to 450,000 vehicles
and employs more than 11,000 people.
Ongoing Commitment in the U.S.
In addition to sales and marketing operations, the BMW Group
footprint in the U.S. consists of nearly 30 locations in 12 different
states, including an advanced design studio, a technology research and
development center, and a venture capital fund in California, BMW
Group Financial Services, and BMW Manufacturing Corporation, which
operates Plant Spartanburg in South Carolina. The BMW Group dealer
network consists of nearly 650 independently owned BMW, MINI,
Rolls-Royce and BMW Motorrad dealers nationwide. Taken together, the
BMW Group’s operatons in the U.S. directly and indirectly provide and
support more than 120,000 jobs in the U.S., and has contributed $43.3
billion to the U.S. economy.
