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BMW craftily sidesteps Greer to announce $1B Mexican plant

By Jim Fair, Editor
Published on Thursday, July 3, 2014

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BMW Global and BMW Manufacturing Co., officials routinely slight Greer as its lone North Amercan manufacturer in official announcements, despite the facility is set to become its largest manufacturer worlwide.
 
 
 
 
 

BMW Global and BMW Manufacturing Co., officials routinely slight Greer as its lone North Amercan manufacturer in official announcements, despite the facility is set to become its largest manufacturer worlwide.

 

 

 

 

 

Greer and San Luis Potosi, Mexico are now BMW neighbors.

BMW announced today it is building a $1 billion manufacturing plant in Mexico that will employ about 1,500 people and begin production in 2019. Vehicle models were not announced.

With today’s announcement BMW is investing $2.2 billion into its North American facilities – $1 billion in Mexico – and planned capacity for both plants will total 600,000 units annually – 450,000 in Greer and 150,000 in Mexico. The company is investing $200 million to expand the joint venture carbon fiber plant in Moses Lake, Wash. 

Greer and San Luis Potosi are only 1,500 miles apart. The Mexican plant, 250 miles Northwest of Mexico City, can export via the Pacific Ocean and Gulf of Mexico.

BMW does not recognize Greer as its production location in announcements although the plant's physical address is 1400 Highway 101 South, Greer, 29651. The official announcement from German executves was littered with Spartanburg designated as the manufacturing site.

Sky Foster, spokeswoman for BMW Manufacturing in Greer, crafted this statement: “With the new plant in Mexico and the expansion of the Spartanburg site, there are now two pillars in our growth strategy for the NAFTA region. Plant Spartanburg will remain focused on producing X models: X3, X4, X5, X6 and, later, the X7.  With capacity growing to 450,000 units per year by the end of 2016, the Spartanburg plant will become the BMW Group’s largest plant. The current investment in the Spartanburg plant is equivalent to an entire plant."

BMW's announcement stated Mexico's highly-qualified local workforce, a solid network of established suppliers and the well-developed infrastructure were reasons locating in the region. Labor costs are reportedly 20 percent less than in the U.S.

The BMW Group reported it purchased $1.6 billion locally last year in Mexico. The local sales company sold 13,992 vehicles in Mexico in 2013, a 18 percent increase over the the previous year.

BMW's initial capital investment of $444 million resulted in 1,900 jobs when it began operations in 1994.

The BMW plant in Brazil will go on line later this year.

 

 

 

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