BMW's Munich Milestone: €650M Investment To Transform Historic Plant Into E-Mobility Hub

Bayerische Motoren Werke AG BMWYY said its Munich plant will be the first location in the BMW Group's existing production network to have successfully completed the transformation to E-mobility from the end of 2027.

As such, the era of vehicles with combustion engines in Munich will draw to a close 75 years after the launch of the BMW 501 in 1952.

The luxury car manufacturer group will invest €650 million in the plant, with four buildings, including a new vehicle assembly line with logistics areas and a new body shop.

In 2021, the BMW i4 became the first all-electric vehicle to be produced on the same production line.

Currently, every second vehicle that rolls off the production line has an all-electric drive system.

Also, in order to create the space within the limited floor space at the plant in the heart of Munich, the traditional engine manufacturing has been moved to Hams-Hall in Great Britain and Steyr in Austria after roughly 70 years at the parent plant. 

The company said 1,200 employees have been trained for different production strategies in Munich or have taken up employment at other locations in the production network.

"The Munich plant is an excellent example of our ability to adapt," said Milan Nedeljković, Member of the Board of Management of BMW AG, Production. "Last year alone, six all-electric models went into production."

Price Action: BMWYY shares are trading lower by 0.39% at $36.58 on the last check Wednesday.

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