PressClub United Kingdom · Article.
Think global – act local for local: Where the BMW Group will make its next generation of high-voltage batteries
Tue Jul 30 09:00:00 CEST 2024 Press Release
+++ Worldwide five new assembly sites for 6th generation high-voltage batteries +++ Current status from Irlbach-Straßkirchen (Germany), Debrecen (Hungary), Shenyang (China), San Luis Potosí (Mexico) and Woodruff (USA) +++
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Note: This press release is a 1:1 copy of the original issued by BMW headquarters in Germany. No adaptations have been made to cater for the UK market.
Munich. The Neue Klasse will usher in a new era of fully electric driving at the BMW Group – the success of which will depend heavily on the production of powerful high-voltage batteries. That’s why the BMW Group is expanding its production network for the next generation of high-voltage batteries significantly. “We are setting up five facilities on three continents to produce our sixth-generation high-voltage batteries,” explained Milan Nedeljković, Board Member for Production at BMW AG. Across the globe, the principle of “local for local” will apply: "Close connection of battery production with vehicle production is part of our strategy," explains Markus Fallböhmer, Senior Vice President of Battery Production at BMW AG. This helps the BMW Group increase the resilience of its production.
Battery and vehicle production closely connected
The Neue Klasse will be the first to incorporate the all-new cylindrical cells. These represent a technological leap by the BMW Group, offering vastly improved energy density, charging times and range. They will be assembled in new facilities located as closely as possible to vehicle plants, in keeping with the principle of “local for local”. State-of-the-art assembly plants for sixth-generation high-voltage batteries are currently under construction in Irlbach-Strasskirchen (Lower Bavaria), Debrecen (Hungary), Woodruff (near Plant Spartanburg in the US), Shenyang (China) and San Luis Potosí, Mexico. With the “local for local” approach in place, production will be able to continue even when unexpected political or economic events occur. In addition, short distances between battery and vehicle plants will reduce the carbon footprint of car production. The BMW Group is also upgrading its existing sites and securing jobs.
Neue Klasse to launch first at Plant Debrecen in 2025
The first Neue Klasse vehicles will be produced at the BMW Group’s new plant in Debrecen, starting in 2025. High-voltage battery and vehicle manufacturing will launch in parallel. With the training centre in Debrecen open since autumn 2023 and the communications centre in use since February 2024, a large number of employees are already at work in their offices at the site. The production team, meanwhile, are preparing for their new jobs at various locations across the BMW Group production network. This will ensure a smooth start to pre-series production and a successful series launch in the second half of 2025.
China to produce the Neue Klasse from 2026
From 2026 Neue Klasse vehicles will also be made by BMW Brilliance Automotive (BBA) in Shenyang, China. Here, too, the sixth-generation high-voltage batteries required for the cars will be manufactured locally. The production hall was completed in November 2023, and the installation of plant and machinery has been underway since March 2024. The first Chinese-made pre-series batteries will roll off the production line at the end of this year. Preparing for the launch of the Neue Klasse, the BMW Group has also set up its largest R&D network outside Germany, with facilities in Beijing, Shanghai, Shenyang and Nanjing.
Neue Klasse in Mexico from 2027
At San Luis Potosí in Mexico, additional production capacity is being established for series production of the Neue Klasse to start in 2027. Construction of the new high-voltage battery assembly plant started in May 2024 and will comprise more than 80,000 square metres of production space when completed. But the integration of battery assembly is not all that’s changing at Plant San Luis Potosí: the bodyshop is set to grow to more than 90,000 square metres in total, while vehicle assembly and logistics spaces will expand by nearly 10,000 square metres. The BMW Group is the first premium OEM to manufacture fully electric cars and high-voltage batteries in Mexico – and a pioneer in the industry.
BMW Group Plant Woodruff: High-voltage batteries for Spartanburg
Electromobility is also advancing in South Carolina. BMW Group Plant Woodruff will cover an area of about 93 hectares and consist of a technology building, ancillary structures, an energy centre, a staff restaurant and a fire department. It will create more than 300 new jobs with the BMW Group. When construction reaches completion in 2026, Woodruff will assemble high-voltage batteries for fully electric cars made in nearby Plant Spartanburg. The ground-breaking ceremony for the first building in Woodruff – the training centre – was in June 2023.
High-voltage batteries from Lower Bavaria
The BMW Group is also going to manufacture high-voltage batteries for Neue Klasse models in Germany – specifically in Irlbach-Straßkirchen, in Lower Bavaria. The new facility will supply sixth-generation high-voltage batteries to German car plants. The BMW Group was granted permission to build the new high-voltage battery assembly plant in April 2024 and erected the first of more than 1,000 concrete pillars for the production hall in late June 2024. The citizens of Straßkirchen had previously voted in favour of the BMW Group coming to their area, with a clear majority of over 75 percent in the referendum of September 2023.
Battery expertise concentrated in Parsdorf and Munich
Prototype battery cells like the ones in the Neue Klasse, launching in 2025, are already being made at the BMW Group’s Cell Manufacturing Competence Centre (CMCC) in Parsdorf, just east of Munich. The CMCC was built to complement the Battery Cell Competence Centre (BCCC) in the north of the city, where development work is carried out. The CMCC scales up the best product for series production. Product and process are uniquely interlinked by the close collaboration across divisions, between Development, Purchasing and Production. The BMW Group operates further pre-series plants and pilot lines for future high-voltage batteries in Munich and the nearby towns of Parsdorf and Hallbergmoos.