Posted on 04/15/2025 12:23:56 PM PDT by Red Badger
After attracting some dubious criticism regarding its US-based production, BMW fired back with some cold, rational stats that solidified its reputation as an exporter and manufacturer. But apparently, the automaker wasn’t content to stop there. Perhaps fueled by indignation—but more likely demand and forecasting—BMW is mulling over the addition of shifts at its Spartanburg plant. Apparently, the boosted productivity could result in up to 80,000 additional units entering production.
Anticipating the Year Ahead
Reportedly, BMW’s US inventory is sitting around a month’s days supply. A primary benefit of the production increase is price protection. A ramp up ensures models that are made in the US—mostly X models, like the X3 and X5—retain current pricing until at least the end of May. Associated parts will feel the benefit, too. It’s just one creative way the automaker can work around the Trump administration tariffs that may otherwise severely impact customer pricing both US and abroad.
It’s also important to note that a portion of these 80,000 units would also be leaving the country. After all, Spartanburg, SC, is responsible for global SUV production. In fact, BMW is the largest vehicle exporter in the country by value, exporting over $10 billion in vehicles just last year. The fact that Plant Spartanburg is located in a free-trade zone helps alleviate stress from both US tariffs and tariffs in other countries.
Otherwise, costs would be mounting even quicker as a trade war continues to rage. A free-trade zone, or FTZ, acts as a holding area for imported goods to be re-exported. Here, goods are allowed to be repackaged and exported without the heavy tariffs associated with normal imports and exports. In BMW’s case, that primarily impacts components from Austria, like engines. Spartanburg, South Carolina, is the second largest FTZ in the nation as of 2024.
BMW looks forward to a year that could be full of constant pressure. So, it makes sense for the automaker to explore every possible avenue. A global, trade-heavy economy is perhaps more critical to BMW than any other automaker. After all, it has exported over $100 billion of product just in the last decade. Despite some misguided comments surrounding their Spartanburg manufacturing, it’s clear that BMW brings a lot of value to the US at large and South Carolina specifically, and has no intention of shaking things up if it can avoid it.
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Steven Paul Steven is a Senior Writer for BMWBLOG. A lifelong enthusiast, he's driven F90 M5s around Circuit of the Americas, off-roaded X5s, drag raced M4s and M2s, and spent countless paychecks maintaining BMWs...
A quick note on how BMW does Business. They hire American Employees thru Temp agencies to work at the plant. They hire some American workers, but real management is pretty much German. They bring many Germans into the area on like 2-year visas to work...They make their first level (or tier 1 suppliers) use parts from suppliers they designate (most of whom are in Germany or German). They expect suppliers to reduce the cost of the parts they purchase each year into the contract. The plant’s production can vary based upon US dollars exchange rates. They are demanding on quality but will do “silent” recalls fixing production or design issues because they don’t want anyone to know about defective parts. They are good for the area but focus on the money going back to Germany or to Germans. Just a bit of what I remember about BMW
I bought a 2 year old Mercedes ML350 4matic in 2010, and it has been the most reliable, trouble-free car I have owned. For reference, my first car was a 1959 MGA 1600 Mk II. And it was barely 8 years old at the time.
Interesting to know that... My first car was a 1959 MGA Fixed-head (coupe, to Americans). Sold it in 1969 when i joined the Navy. I’ve been looking for another one lately but the fixed-heads are fairly rare. Hard to find and expensive when you do. The good news is that parts are not hard to find.
Our 2014 Mercedes has been very reliable, too. I think just one tire pressure sensor failed in ten years!
Our costs have all been tires, brakes, oil changes and other routine stuff. The car has never stranded us. 135k on the clock now.
It’s just the normal maintenance costs at the dealer are astronomically high priced. My wife feels better having the dealer work on it (it’s her car).
Although “hot” for driver and passenger...
My wife drives Nissians made here in the USA. I drive f150s or Rams. All fine vehicles. We do not drive BMWs due to high repair costs but they are fine cars.
My last F150 went 200,000 Miles. the transmission was going and the repair would more than the worth of the truck. I sold it. It to obamma under his program to get get gas guzzelers of the Road. Then bought a Ram
“Although “hot” for driver and passenger...”
That is true, although as a kid, I lived in NW Minnesota at the time I owned it. With 9 months of winter and 3 months of lousy sledding, the roll-up windows were awesome! It also had an actual heater in it! Made it tolerable to go to and from high school and dates with chicks.... :-)
Just out of curiosity, how many miles have you put on the car? I don't put a lot of miles on my cars. After 10 years I didn't have a lot of high figure maintenance costs for my sporty rice burner. When it came time to replace the high performance brakes the dealership wanted $5K+ to replace them. I had my brakes replaced at the local Farm and Fleet for about $750. If I knew better at the time, I would have had them put in after market performance brakes for around $2K. My biggest cost was insurance over the years.
I bought a BMW a few months ago. I've been too lazy to call my sales person. How do you stop the car from going crazy at the car wash when the key fob is in your pocket when you are doing a manual paid car wash.
I have an X5. Great car.
We have a Z4. POS..............
My 1997 R1100s is still running like a champ.
Not even the Z4 coupe?
We have one. Bought it used. POS.................................
Plus the Z4 is homely. The Z3 was a beautiful little roadster.
Always thought the Z3 looked like a tennis shoe with wheels..........😁
I am hoping for a BMW M-model Z4 Coupe in glacier blue. (If my present ride ever gives up).
One without the optional dashboard electronics. The M model is sleek, has a fixed rear wing... not merely a Z4 with a detachable hardtop.
Sleek, powerful and fast. Engineers had a field day and open checkbook with this model.
Yes, the new ones look fantastic, but at at $55,675 and up to $71,125 depending on the trim and options, it’s not very practical..................
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