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      07-01-2014, 11:22 PM   #45
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Quote:
Originally Posted by MaximumG View Post
BMW has already been making BMWs in Mexico for the past 20 years. Right now they still haven't revealed a lot of detail about the new Mexico plant. It doesn't necessarily mean US-bound Mexican-assembled BMWs just yet.
Its a privately owned subsidary by Mexican investors of BMW AG and actually a lot of parts come from Mexico for our cars. This is old news, they revealed plans for a plant in mexico in 2012. Half of the parts are mainstream "Mexico" welcome to Audi/VW, Hope the cars aren't as shitty tho...
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      07-02-2014, 03:38 AM   #46
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      07-02-2014, 07:44 PM   #47
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Quote:
Originally Posted by BMW M Power Mexico
I am glad that - so far - this thread hasn't devolved into irrational complaints like the last time this topic was brought up here at Bimmerpost.

I'd like to chime in. I am a Mexican "chilango", proud to be one, with lots of american friends and of course very happy about this news.

Unfortunately Mexico's image in the US is very bad because of the drug trade, illegal immigration and corruption.

Without denying any of the above problems, I can say that there are millions of mexicans like me (the majority of mexicans) who work hard every day and try to make Mexico a better place. Our country is much more than the above problems (and ftbol yey!)

A BMW plant in Mexico is good news for the US as well, not just Mexico because of these reasons:

1. The real alternatives and competitors are other - relatively low cost locations - in Asia, Eastern Europe and Africa. Not the very successful, recently expanded, US operation in NC.
2. Mexican automotive labour is very qualified, we have had a booming auto industry for the last 15 years or so.
3. US suppliers are much more likely to be integrated into this plant's value chain than they would be if the plant was built outside North America.
4. Creating well paid jobs in Mexico reduces illegal immigration to the US in the long term.
5. A wealthier neighbour to the south helps the US in many ways. We can better police ourselves and buy more US made products. We are also politically stable and a partner instead of trouble.

It is also good news for BMW enthusiasts because the cars will be exactly the same. They will still be built and designed in Germany, to German standards and philosophy. And Mexican labour is as qualified as any other in the world. Harder working than most, even.

I am pretty sure BMW's won't get any cheaper because of this - just as a 3 series built today in South Africa isn't any cheaper than one built in Munich. But this enables BMW to make money in an ever tougher competitive environment with their peers and thus, STAY INDEPENDENT.
Very insightful and smart post. Thanks for sharing your knowledge.
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      07-03-2014, 04:28 PM   #48
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Thanks to all who liked my earlier post.

The news became official today with a bit more details. It will be built in San Luis Potosi, it is a one billion US$ investment and will build 150,000 cars/year in 2020. No details yet on which model(s) would be built here.

For comparison's sake, based on vehicle output capacity, this makes it 5 times as big as the Brazil plant (30,000 units/year) and one third the size of the US plant (growing to 450,000 units/year capacity in the near future).

Good news.
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      07-03-2014, 05:04 PM   #49
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Quote:
Originally Posted by BMW M Power Mexico View Post
Thanks to all who liked my earlier post.

The news became official today with a bit more details. It will be built in San Luis Potosi, it is a one billion US$ investment and will build 150,000 cars/year in 2020. No details yet on which model(s) would be built here.

For comparison's sake, based on vehicle output capacity, this makes it 5 times as big as the Brazil plant (30,000 units/year) and one third the size of the US plant (growing to 450,000 units/year capacity in the near future).

Good news.
I really liked your original post too.


Here is BMW AG's official press release from today...


BMW Group to build new plant in the NAFTA region
03.07.2014

Mexican state of San Luis Potosi chosen as location

Investment of roughly one billion US dollars
Capacity of around 150,000 units per year
Start of production planned for 2019
Harald Krueger: Decision underscores commitment to the NAFTA region


Munich/Mexico City. The BMW Group will build a new plant in Mexico in close proximity to the city of San Luis Potosí in the state of the same name. This move is in line with the company’s clear strategic policy of ensuring globally-balanced growth.

“Mexico is an ideal location for the BMW Group and will be another important plant within our production network. We will invest one billion US dollars in the new production site over the next few years. Production is planned to start in 2019 and during that year, the workforce will reach around 1,500 people,” said Harald Krueger, member of the BMW AG Board of Management, responsible for Production.

Over the medium term, several thousand jobs will be created on the plant site and in the surrounding area. The company will announce which BMW models will be built at the San Luis Potosí location at a later date.

“This decision underscores our commitment to the NAFTA region. We have been building BMW cars at our US plant in Spartanburg for the past 20 years. With a planned annual capacity of 150,000 units for the new plant in Mexico, the BMW Group will be even better positioned to take advantage of the growth potential in the entire region,” Krueger said. “The Americas are among the most important growth markets for the BMW Group. We are continuing our strategy of ‘production follows the market’,” he continued.
The company made the announcement at the “Los Pinos” Official Residence of the President in Mexico City today. The ceremony was attended by Mexican President Enrique Peña Nieto, Mexican Secretary of Economy Ildefonso Guajardo Villarreal and the Governor of San Luis Potosí, Dr. Fernando Toranzo Fernández.

Mexico as a competitive manufacturing location within the NAFTA region
The large number of international free trade agreements – within the NAFTA area, with the European Union and the MERCOSUR member states, for example – was a decisive factor in the choice of location. Other crucial advantages were the highly-qualified local workforce, a solid network of established suppliers and the well-developed infrastructure. The BMW Group has maintained good relations with Mexican suppliers for many years and purchased products worth 1.6 billion US dollars locally last year.

The BMW Group has operated a local sales company in Mexico since 1994 and sold a total of 13,992 vehicles in the country in 2013. This represents an increase of almost 18.3% over the previous year. Motorcycle sales for the same period reached 2,064 units (+16.6%).

BMW Group investment in the NAFTA area
The BMW Group already announced a further investment of one billion US dollars at its existing plant in Spartanburg, USA back in March of this year. This will increase that plant’s annual production capacity to up to 450,000 vehicles by the end of 2016 and make Spartanburg the largest plant in the BMW Group’s international production network.

A further 200 million US dollars will be invested to expand the joint venture carbon fiber plant in Moses Lake, Washington. This will triple local production capacity over the long term, making the Moses Lake plant the world’s largest carbon fiber manufacturing facility.
The BMW Group will invest a total of 2.2 billion US dollars in the NAFTA region in the period up to 2019.

In parallel, the BMW Group is currently building a plant in the state of Santa Catarina in Brazil. The start of production for the Brazilian plant is scheduled for later this year.

With plants in the US, Mexico and Brazil, the BMW Group will have extensive production capacity at key locations in North and South America.

Addendum:
Information on the plant is available immediately at the www.bmwgroup-plant-sanluispotosi.com website. The website also includes contact details and the opportunity to apply for a career with the BMW Group through online registration.

The BMW Group
With its three brands BMW, MINI and Rolls-Royce, the BMW Group is the world’s leading premium manufacturer of automobiles and motorcycles and also provides premium financial and mobility services. As a global company, the BMW Group operates 28 production and assembly facilities in 13 countries and has a global sales network in more than 140 countries.

In 2013, the BMW Group sold approximately 1.963 million cars and 115,215 motorcycles worldwide. The profit before tax for the financial year 2013 was € 7.91 billion on revenues amounting to approximately € 76.06 billion. As of 31 December 2013, the BMW Group had a workforce of 110,351 employees.

The success of the BMW Group has always been based on long-term thinking and responsible action. The company has therefore established ecological and social sustainability throughout the value chain, comprehensive product responsibility and a clear commitment to conserving resources as an integral part of its strategy.

www.bmwgroup.com
Facebook: http://www.facebook.com/BMWGroup
Twitter: http://twitter.com/BMWGroup
YouTube: http://www.youtube.com/BMWGroupview
Google+: http://googleplus.bmwgroup.com
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      07-03-2014, 06:08 PM   #50
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No way i will be paying a premium german price tag for the car assembled in mexico. Thanks god my M235i is only produced in Germany for now
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      07-04-2014, 09:04 AM   #51
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Looks like ill be putting hot sauce on my next 3!
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      07-04-2014, 09:05 AM   #52
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Ill never buy a BMW thats not built in Germany. Well, except the M Coupe/Roadster...
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      07-04-2014, 09:23 AM   #53
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Quote:
Originally Posted by Red Lined
Instead of European Delivery, would I be able to take a Mexican Delivery?
Best comment of the thread!!!! Lol!!!ðŸ‘ðŸ‘ðŸ‘
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      07-04-2014, 09:25 AM   #54
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Shame on BMW for NOT building this plant in USA........
We need all those jobs here, 12 million unemployed.......period.
Just as i refuse to buy a VW that's made in Mexico(got burned once with a MKIII) or when Audi starts cranking them out, I will not be buying anything that's coming out of those plants. Its the "Mother land" or USA.
Add to the fact that Mexico Gov is Uber corrupt and becoming a narco state. No Thanks!
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      07-04-2014, 09:36 AM   #55
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      07-04-2014, 10:01 AM   #56
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Glad the overall tone here about this is positive, but my personal experience leads me to mixed feelings about this. I had a German-produced VW right around the same time my sister had a Mexican-produced one. My car was solid as a rock, and hers was nothing but trouble. Now, there are plenty of other factors that I'm sure came into play here but I'm still a bit apprehensive.
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      07-04-2014, 10:01 AM   #57
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BMW is lowering its quality manufacturing them in Mexico, should have been their manufacturing in the United States or Canada.
This is disappointing me.
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      07-04-2014, 10:10 AM   #58
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"The company made the announcement at the "Los Pinos" Official Residence of the President in Mexico City today. The ceremony was attended by Mexican President Enrique Pea Nieto, Mexican Secretary of Economy Ildefonso Guajardo Villarreal and the Governor of San Luis Potos, Dr. Fernando Toranzo Fernndez."


Enrique Pena Nieto
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      07-04-2014, 10:16 AM   #59
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Quote:
Originally Posted by BMW M Power Mexico View Post
4. Creating well paid jobs in Mexico reduces illegal immigration to the US in the long term.
5. A wealthier neighbour to the south helps the US in many ways. We can better police ourselves and buy more US made products. We are also politically stable and a partner instead of trouble.
Exactly.

I never understood the business and political strategy of the USA investing money in Asia, in particular China, when South America could have been the natural and ideal ground to put our money and businesses there.

However, we bitch and moan because they can't stay on their side of the fence. While we keep borrowing money from China to pay for the damn fence to begin with.

A richer South America is much better for us than a richer China.
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      07-04-2014, 10:24 AM   #60
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For those that think this is acceptable, do know that this is just the tip of the iceberg for a new trend. I'm sure this was an investors' decision anyway, but big powerful companies with record-setting profits only want one thing: more money.

For the first few years, I'm sure the cars coming from Mexico would be high quality and well made like the German counterparts. But over time, things will reveal itself. Management in BMW Mexico will become corrupt just like their government. Examples include:

- Accepting bribes from suppliers (to ensure their parts get sourced over competitors)
- Cutting corners to reduce cost, and make their accounting book look good to headquarters

I've seen this happen in China. We had to cut partnership with several Chinese companies because of these EXACT reasons. I'm sure the average Mexican citizen is hard working and honest, but there's a reason why despite all these years, it remains a poor and corrupt country.

Last edited by JunkStory; 07-04-2014 at 10:52 AM..
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      07-04-2014, 10:36 AM   #61
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My guess is the new FWD models will be made there. With their new shared platform strategy.
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      07-04-2014, 10:46 AM   #62
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Quote:
Originally Posted by BMW M Power Mexico
I am glad that - so far - this thread hasn't devolved into irrational complaints like the last time this topic was brought up here at Bimmerpost.

I'd like to chime in. I am a Mexican "chilango", proud to be one, with lots of american friends and of course very happy about this news.

Unfortunately Mexico's image in the US is very bad because of the drug trade, illegal immigration and corruption.

Without denying any of the above problems, I can say that there are millions of mexicans like me (the majority of mexicans) who work hard every day and try to make Mexico a better place. Our country is much more than the above problems (and ftbol yey!)

A BMW plant in Mexico is good news for the US as well, not just Mexico because of these reasons:

1. The real alternatives and competitors are other - relatively low cost locations - in Asia, Eastern Europe and Africa. Not the very successful, recently expanded, US operation in NC.
2. Mexican automotive labour is very qualified, we have had a booming auto industry for the last 15 years or so.
3. US suppliers are much more likely to be integrated into this plant's value chain than they would be if the plant was built outside North America.
4. Creating well paid jobs in Mexico reduces illegal immigration to the US in the long term.
5. A wealthier neighbour to the south helps the US in many ways. We can better police ourselves and buy more US made products. We are also politically stable and a partner instead of trouble.

It is also good news for BMW enthusiasts because the cars will be exactly the same. They will still be built and designed in Germany, to German standards and philosophy. And Mexican labour is as qualified as any other in the world. Harder working than most, even.

I am pretty sure BMW's won't get any cheaper because of this - just as a 3 series built today in South Africa isn't any cheaper than one built in Munich. But this enables BMW to make money in an ever tougher competitive environment with their peers and thus, STAY INDEPENDENT.
+1 on points 4 and 5
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      07-04-2014, 11:32 AM   #63
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This can either end bad or end good. I'm hoping its going to end good
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      07-04-2014, 11:49 AM   #64
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Plans to expand, increase sales, make more profit, and keep quality the same. What I hear is "buy stock now".
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      07-04-2014, 12:37 PM   #65
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That's great new. Keep all the business on the America side and I'm good with it. I wonder if a lot of people check where parts of their cars come from? Now a days I don't think most cars are 100% made from their country without a part coming from another country.
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      07-04-2014, 12:43 PM   #66
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Most purists decried the move by the German manufacturers to American plants. They even lambasted the very first product that came out of Alabama (first gen ML) and N Carolina (Z3) for poor quality.. maybe that's by design or by sourcing cheap local parts.. but 10+ years later the product is now just as good and as refined as those imported from Europe.
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