Automotive Purchasing Weekly 21 December 2015 - page 6

BMWGroupproduction reachesnewrecordhighs in2015
18 December 2015 | OEM
With the end of the year fast approaching, it is apparent that the BMW Group’s production
network will be posting new record highs for the business year 2015.
Due to the high customer demand and the
launch of numerous new models, such as the
new BMW 7 Series, the international plant
network has shown an excellent capacity
utilisation. Oliver Zipse, Member of the
Board of Management of BMW, Production,
is satisfied with the performance: “The
BMW Group’s two-millionth car rolled off the
assembly lines back in November. And 2015
marks the fifth time in a row that our German
plants have produced well over one million
vehicles a year.”
At the heart of the BMW Group’s
production system are robust and highly
flexible manufacturing processes. As a next
step to further enhance these strengths,
the company is planning to make each
plant a production site for either the front-
wheel or rear-wheel drive architecture
only. Oliver Zipse: “This move is going to
take the productivity of our production
network to a whole new level. By focusing
on one architecture, the plants can increase
efficiency while reducing complexity. We
aim at implementing this process as we
introduce our new models over the next
three years.”
Digitisation strengthens innovation
Drawing on their great innovative
capacity, the BMW Group’s German plants
assume a leading role within the network,
setting trends for their global network
partners. Numerous examples throughout
the production network show just how
innovative the BMW Group’s production
system is. These include digitisation,
process modules and intelligent mixed-
material construction as key characteristics
of the network’s future viability. Digitisation
in particular, which has entered the
public debate under the term ‘Industrial
Internet’, has a major share in increasing
the adaptability of production facilities
and in facilitating considerable efficiency
and quality improvements. IT-supported
technologies can make complex sequences
in production even more effective by
applying flexible robot systems, intelligent
tools to support the workers, simulations,
automated data recording and analysis.
To ensure the German plant’s ability to
meet future demands in the long term, the
BMW Group is going to invest more than €1
billion in the existing sites during the next
By mid-2017, the home plant in Munich
will be equipped with an innovative paint
line that meets the highest standards in
terms of both its profitability and the efficient
use of resources. The new facility is part of
a comprehensive investment programme of
over half a billion euros to be invested by
2018 with the aim of preparing the plant for
future challenges. The investment package
also comprises an expansion of the areas
body-in-white, assembly and logistics.
During the last three years, the BMW
Group has invested more than half a
billion euros in new efficient production
technologies for the new BMW 7 Series alone
at Germany’s biggest production location
in Dingolfing. With new technologies such
as CFRP and electrification the production
plant has become fit for the future. Also this
and next year investments amounting to
hundreds of millions of euros will be made to
prepare the plant for future vehicle models
and technologies.
At the Landshut plant, the BMWGroup has
made three-digit million investments in 2015
to facilitate component production for BMW
models and to further develop structures. By
the end of 2016 the construction of the new
BMW Group lightweight centre will have
been finished with an investment volume of
€20 million.
The company is furthermore investing
a total of €100 million in its motorcycle
production site in Berlin, where existing plant
structures are being expanded and new
viable structures established. €50 million
alone are earmarked for a new logistics
centre, scheduled to start operations in late
Continuing internationalisation of the
production network
Another priority is the investment in
setting up new and stepping up existing
global production capacities, a commitment
to continuing the BMW Group’s successful
track record. A globally connected
and flexible production network is the
prerequisite of further growth and key to
balanced value creation.
The BMW Group will be investing a
total of $2.2 billion in the NAFTA region by
2019. At present, a state-of-the-art body-in-
white facility is being erected at the BMW
Group’s plant in Spartanburg, U.S.; the new
construction is part of a $1 billion investment
programme initially announced in 2014. This
year, the production site’s annual output is
going to reach a new record high of over
400,000 units, making the Spartanburg
plant the largest site in terms of production
volume in the BMW Group’s network. About
one in five BMWs is produced in Spartanburg.
Another $1 billion is being spent on the
new plant in Mexico. The groundbreaking
ceremony has been scheduled for the
summer of 2016, the start of series production
for 2019. $200 million is being invested into
the joint venture SGL Automotive Carbon
Fibres in Moses Lake, (U.S.) which operates
a carbon fibre plant. With the plants in the
US, Mexico and Brazil, the BMW Group
will in future have substantial production
capacities in North and South America at its
In January 2016, the joint venture BMW
Brilliance Automotive (BBA) opens its new
engine plant in China. The new facility, which
also includes a foundry, is going to make
drivetrains for the BMW vehicles produced
at the BBA vehicle plants Dadong and Tiexi
in its immediate vicinity. Consequently,
engine plant’s capacity will be determined
based on the production volume of the two
automotive plants.
Saabsuccessor signs strategiccollaborationagreement for 150,000
18 December 2015 | OEM
National Electric Vehicle Sweden (Nevs), the successor of Saab automotive, and the Chinese
company Panda New Energy have signed a strategic collaboration agreement, to provide
150,000 9-3 sedan electric vehicles.
According to the agreement, Nevs will
provide Panda with 150,000 9-3 sedan
electric vehicles (EV) until the end of 2020.
In addition, the agreement also includes
100 000 other EV products and services
from companies associated to Nevs and its
owners. The total value of the agreement is
78 billion RMB (Chinese Yuan).
Panda New Energy is a new energy
vehicle leasing company with focus on low
emission mobility solutions. Cooperating
with many chauffeured car service platforms
in China, Panda aims to become one of the
biggest EV leasing companies in the world.
“This is a strategic collaboration for Nevs
not only in terms of the numbers of vehicles,
but it is also an important step to implement
our vision and new business plan. In the
long term, we want to provide our customers
with both sustainable products and mobility
services,” said Stefan Tilk, Vice Chairman
“We are very pleased to form a
cooperation with Nevs, a company with a
rich innovation heritage and the right ability
to fulfil our demands. Being in an emerging
market for new energy vehicles, we are
happy to find a partner who shares our
commitment to the environment,” said Ma
Chao, Chairman Panda New Energy.
National Electric Vehicle Sweden AB’s
vision is to shape mobility for a more
sustainable future, and focuses on the
development of EVs and sustainable mobility
services. Nevs acquired the main assets of
the former Saab Automobile in 2012. Nevs
is Co-owned by National Modern Energy
Holdings, Tianjin Binhai Hi-tech industrial
Development Area, and the Beijing State
Research Information Technology.
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