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BMW's NEUE KLASSE: A Milestone in Chinese Production and Electrification

May 23,2023
Category:News

In commemoration of the 20th anniversary of the BMW Brilliance Automotive Ltd. (BBA) joint venture, Milan Nedeljković, a member of BMW AG's Board of Management in charge of Production, has announced that the NEUE KLASSE will be produced locally in China. Starting from 2026, BBA in Shenyang will also manufacture models from the next generation of vehicles, following their market launch in 2025.

To facilitate this, locally manufactured high-voltage batteries will be utilized. As part of the anniversary festivities, a virtual groundbreaking ceremony was held for a new high-voltage battery assembly facility.

With an investment of RMB 10 billion (US$1.4 billion), BBA will establish the new location dedicated to producing battery cells for the sixth generation of high-voltage batteries from 2026 onwards. This "Sixth-Generation Battery Project" will play a crucial role in manufacturing NEUE KLASSE vehicles and is expected to generate approximately 2,000 new jobs in the region.

"Our Shenyang plants have evolved from a modest assembly facility with limited output to our largest global production site. Today, on the 20th anniversary of our joint venture, I am thrilled to announce the local production of the NEUE KLASSE in China. This integration of the NEUE KLASSE into our Chinese production coincides with the establishment of a high-voltage battery assembly plant for the upcoming sixth-generation batteries. These developments will significantly contribute to the further electrification of our vehicle lineup and, consequently, our company's success," stated Milan Nedeljković.

The BMW Group has been active in the Chinese market since 1994 and established the BMW Brilliance Automotive joint venture in May 2003. Over the past two decades, the BMW Group has consistently expanded its operations in China, and production capacity in Shenyang has grown from 30,000 to 830,000 units. BBA currently manufactures seven different model ranges, including fully electric, plug-in hybrid, and internal combustion engine vehicles.

The upcoming NEUE KLASSE from the BMW Group will embody the three core elements of future mobility: electric, digital, and circular.

The integration of the NEUE KLASSE production in China and the establishment of battery factories for the sixth generation represent crucial milestones as the BMW Group systematically restructures its production network to support electromobility. The company aims for more than half of its global vehicle sales to be fully electric by 2030.

Currently, the BMW Group produces electronic components and high-voltage batteries for its existing electric vehicles at German sites in Dingolfing, Leipzig, and Regensburg, as well as the Shenyang location in China.

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