BMW invests 2 billion euros in German plants for new 3 Series production

BMW Group is investing around 2 billion euros  in vehicle production and battery manufacturing in Germany as it prepares for the new 3 Series. Around 1 billion euros  is being invested in the Munich and Dingolfing vehicle plants, while another 1 billion euros  is going into a new battery plant in Lower Bavaria. The investment comes as the 3 Series, which has been in production since 1975, enters its first fully electric chapter with the new BMW i3. BMW says around 18 million 3 Series cars have been built so far.

Where BMW's investment is going

Around 1 billion euros  of the total investment is being used to upgrade the Munich and Dingolfing vehicle plants. The other 1 billion euros  is going into the new BMW Group Plant Irlbach-Straßkirchen in Lower Bavaria, which will produce high-voltage batteries for the electric BMW i3.

Raymond Wittmann, Member of the Board of Management of BMW Group for Production, said the investment reflects the company's focus on production, jobs and long-term value creation in Germany. He also highlighted BMW's involvement in the entire process, from development and industrialisation to vehicle production and battery manufacturing.

Munich builds the electric i3, Dingolfing builds the rest

The fully electric BMW i3 is being built at the extensively upgraded BMW plant in Munich. It uses sixth-generation high-voltage batteries supplied by the new Irlbach-Straßkirchen plant.

The combustion-engine and plug-in hybrid versions of the new 3 Series will be built at BMW Group Plant Dingolfing. Both factories are receiving updated production equipment to handle the new technology and maintain their position in BMW's global manufacturing network.

BMW is also following a similar local production approach in other markets. The i3 and 3 Series will be built at BMW Group Plant San Luis Potosí in Mexico, while a China-specific version of the 3 Series will be produced at the company's Shenyang plant.

Also Read: New BMW 3 Series debuts globally — First electric i3 joins the line-up

Germany's role in BMW's global production

Germany remains an important part of BMW's global manufacturing network. The company produces more than one million vehicles a year at its German plants, which accounts for around a quarter of all cars produced in Germany. Around 55% of BMW Group's global workforce is also based in the country.

The new 3 Series production involves around 760 supplier locations that provide parts and materials to the Munich and Dingolfing plants. More than 70% of these suppliers are based in Europe, while more than 30% are located in Germany.

Two plants, two production paths

The 3 Series has been produced continuously at the Munich plant since 1975, while Dingolfing has also produced the model at different points since 1980. For the new generation, BMW has made major changes at both facilities to support different powertrains.

Munich has received new buildings and production equipment for Neue Klasse technology, turning the more than 100-year-old plant into an electric-focused production facility. The new BMW i3 will be built there alongside the technology needed for its electric powertrain. Dingolfing will continue with a more flexible production setup that can build several BMW models. A new body shop line has also been added specifically for the 3 Series, allowing it to be integrated into the existing production system.

A boost for Lower Bavaria's industrial base

The new Irlbach-Straßkirchen plant will assemble sixth-generation high-voltage batteries for BMW's electric vehicles. From October, it will begin supplying battery systems to the Munich plant for production of the BMW i3.

BMW says the new facility will also support the wider industrial base in Lower Bavaria by creating business for regional suppliers, service providers and other companies. The company has had a presence in the region for nearly 60 years and expects the investment to help retain industrial skills, jobs, tax revenue and manufacturing expertise locally.

Also Read: Tata offers Battery-as-a-Service across its EV lineup — What you need to know

Part of a bigger Neue Klasse rollout

The new 3 Series is part of BMW's wider rollout of Neue Klasse technology across its model range. The company expects around 40 new or updated models with Neue Klasse technology to be on the road by the end of 2027.

For BMW, the investment in the 3 Series is therefore not limited to one new model. It also supports the company's wider shift towards electric vehicles and new production technologies while keeping Germany at the centre of its manufacturing operations.

Stay updated with all the latest happenings & developments in the automotive world by joining our official AUTOVERSE WhatsApp community.