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Overseas | Cost reduction or new model? BMW may transfer U.S. X3 production to Mexico

author:Understand the CheDi report

Text: Understand the original Che Di Li Dezhe

According to a recent report by European Automotive News, insiders revealed that the BMW Group is considering transferring the North American X3 production line from the Spartanburg plant in the United States to the San Luis Potosí plant in Mexico.

Overseas | Cost reduction or new model? BMW may transfer U.S. X3 production to Mexico

BMW's plant in San Luis Potosí, Mexico

While the BMW Group has yet to confirm the plan, CEO Chiptzer said in an interview that Mexico will play an important role in the group's overall plan. Because the market demand is very high, at some point in time, the Mexican plant will start production of the BMW X model.

Overseas | Cost reduction or new model? BMW may transfer U.S. X3 production to Mexico

The BMW X3 was the most popular mid-size SUV in the U.S. market last year

In recent years, sales of BMW X models in the United States have gradually climbed. In the U.S. for the full year of 2021, 204658 bmw X new cars were sold, up 55 percent from five years ago. Among them, the BMW X3 was the most popular mid-size SUV in the US market last year, with full-year sales reaching a record 75,858 units, accounting for 22.5% of the total SALES of BMW in the US market.

It is worth mentioning that the Spartanburg plant in the United States is also the global production center for BMW's SUV models. According to data provided by automotive data forecasting company AFS, BMW Spartanburg plant will be 96% utilized in 2021, while BMW X3 models account for about 27% of its total production.

Overseas | Cost reduction or new model? BMW may transfer U.S. X3 production to Mexico

BMW's planned XM hybrid high-performance SUV may be the first to be put into production in the United States

It is understood that BMW's Mexican plant is currently producing the new 2 Series coupe and BMW 3 Series, and last year's production capacity was only 42%. In the eyes of the outside world, the transfer of BMW X3 production to the Mexican plant can free up the capacity of the Spartanburg plant in the United States to expand the manufacture of other SUV models. BMW's planned XM hybrid high-performance SUV may be the first to be put into production in the United States. (Source: Network)

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