As part of its commitment to sustainability and electromobility, the BMW Group is making a significant move with its new battery assembly plant in South Carolina, a major step towards localizing electric vehicle production in the USA.
What’s Happening
The BMW Group has broken ground on its new high-voltage battery assembly plant in Woodruff, South Carolina. This facility, known as BMW Group Plant Woodruff, is part of a strategic investment of $700 million designed to supply sixth-generation batteries for fully electric BMW X models at the nearby Plant Spartanburg. The establishment of Plant Woodruff is expected to generate more than 300 jobs with potential for future growth.
Why It Matters
The move is a pivotal step in the BMW Group’s drive towards a more sustainable and electric future. “Our new battery assembly plant in Woodruff will soon play a crucial role in our electric future here in the USA,” stated Ilka Horstmeier, a member of the Board of Management of BMW AG. A new Technical Training Center at the Spartanburg plant aims to prepare the company’s 11,000 associates for this transformative era, thereby future-proofing their roles and affirming BMW Group’s position as a reliable employer.
Key Points
In 2022, the BMW Group announced a $1.7 billion investment in its U.S. operations, allocating $1 billion for the preparation of Plant Spartanburg for the production of fully electric vehicles and $700 million to establish the high-voltage battery assembly plant in Woodruff. Under the “local for local” approach, battery cells will be procured from AESC, which is constructing a new 30 GWh battery cell factory in Florence, South Carolina. The new lithium-ion battery cells are specifically designed to enhance energy density by over 20% and improve charging speed and range by up to 30%.
Bottom Line
The BMW Group’s investment in South Carolina underscores its commitment to electrification and sustainability. The Woodruff plant, designed to meet high ecological standards, will be operated without fossil fuels and powered by 100% green electricity. BMW is also working to minimize its carbon footprint by ensuring that cell manufacturers use a percentage of secondary material in the production of battery cells. This sustainable initiative, coupled with the use of green power from renewable energies, is expected to reduce the carbon footprint of battery cell production by up to 60%. With these efforts, BMW continues to contribute significantly to the U.S. economy, supporting over 120,000 jobs directly and indirectly across the nation.
