Tag Archives: Regional

Local for local: BMW Group prioritizes regional supply chains to expand e-mobility in North America

The BMW Group is expediting its efforts in e-mobility and increasingly relying on regional supply chains, following the principle of “local for local.” The company’s goal is to procure components like battery cells close to vehicle production and gradually localize the supply chain for primary materials.

In order to establish a local supply chain in North America, the BMW Group has enlisted the services of Belgian company Umicore. Umicore will supply cathode active battery materials to our battery cell supplier AESC from a new plant in Ontario, Canada. This is a crucial step in strengthening our regional supply chains and ensuring the expansion of e-mobility.

Aligned with the “local for local” principle, our partner AESC is currently constructing a battery cell factory in Florence, South Carolina. The facility, with an initial capacity of 30 GWh per year, will manufacture cylindrical lithium-ion battery cells specifically designed for the sixth generation of BMW eDrive technology. The production of battery cells and cathode raw materials will exclusively rely on renewable energy sources.

Joachim Post, member of the BMW AG Board of Management responsible for Purchasing and Supplier Network, stated, “The BMW Group follows a globally balanced procurement strategy in the three main geographical regions of the world. Our battery cell supplier in the US will now source key primary materials from Canada. We are delighted that Canada is playing a significant role in establishing a robust and efficient battery cell supply chain for the BMW Group in North America.”

In October 2022, Oliver Zipse, Chairman of the BMW AG Board of Management, announced a substantial investment of 1.7 billion US dollars to expand the US production site. As part of this investment, 700 million US dollars will be allocated to building the BMW Group’s new assembly center in Woodruff. This facility will produce high-voltage batteries for the fully-electric BMW X models in the future. In its initial phase, the approximately 93,000 sq. m. facility will focus on manufacturing sixth-generation battery modules and will create around 300 new jobs.

The new sixth-generation battery format will offer an increase in energy density of over 20 percent and improve charging speed and range by up to 30 percent. Additionally, CO2 emissions from cell production will be reduced by up to 60 percent, partly due to cell suppliers sourcing energy from renewable resources and partly due to the utilization of secondary materials for lithium, cobalt, and nickel.

2024 Subaru WRX Rally Car Unveiled for Travis Pastrana and Team

Subaru may no longer be involved in the World Rally Championship, but the company is still active in regional events such as the American Rally Association Championship. In preparation for the 2024 season, Subaru Motorsports USA is introducing a competition-ready WRX, which will have its public debut at the Ojibwe Forests Rally on August 25 and 26.

The rally-spec WRX, built by Vermont SportsCar, has been specifically designed for Subaru’s participation in the American Rally Association Championship’s Open 4WD class. Under the hood, it features a turbocharged 2.0-liter four-cylinder boxer engine with a 33-millimeter restrictor plate and a 22-psi boost limit. This powertrain produces 320 horsepower and 380 pound-feet of torque. The output is transferred to the all-wheel-drive system through a SADEV six-speed sequential transmission.

BMW’s Dingolfing Plant to Use Locally Produced Biomass Heat to Reduce CO2 Emissions

BMW Group’s Dingolfing plant in Germany plans to utilize heat generated from regional biomass and its own waste wood to fulfill about 50% of its process hot water requirements, starting from 2025. The company has signed a supply contract with UP Energiewerke GmbH, a subsidiary of Stadtwerke Dingolfing and Bayernwerk Natur, for the delivery of approximately 100,000 MWh of thermal energy per year. This initiative is expected to save the plant around 20,000 tonnes of CO2 emissions annually, compared to conventional fossil fuels.

The agreement forms a crucial part of the plant’s future energy mix, offering regional and renewable sources of green heat. Christoph Schröder, the Plant Director, emphasized the importance of biomass as a renewable energy source, stating that it will contribute to lowering overall CO2 emissions by 10 to 15% per year.

The energy supplies are scheduled to commence by Q2 of 2025. The 20-year supply contract involves the purchase of thermal energy outputting nearly 100,000 MWh annually. The heat will be generated at a new biomass heating plant in Dingolfing, close to the BMW Group vehicle plant.

Since 2010, the Dingolfing public works department has operated a biomass heating plant that supplies heating to public buildings and private households in the southeastern part of the city. The new heating plant will be built in collaboration with E.ON subsidiary Bayernwerk Natur, through UP Energiewerke GmbH, a joint venture with equal partnership from both parties.

The heating plant, costing around €35 million, will consist of three boilers that operate year-round. It will also be equipped with its own pallet and waste-wood shredder. Underground pipes will transport the locally sourced heat to the energy center at the BMW Group vehicle plant, where it will be distributed across the site. Construction of the plant is set to commence in late 2023.

The biomass used for fuel will include the BMW Group’s own untreated waste wood, as well as wood sourced from regional forestry within a 60-kilometer radius of Dingolfing. The supply of wood will be managed by Biomasse Vertrieb Ostbayern (BVO) GmbH, supported by local forest owners and the Dingolfing public works department. The use of wood chips from sustainable forestry helps reduce CO2 emissions as the released CO2 during combustion is balanced by the CO2 absorption during plant growth.

The completion of the biomass heating plant project signifies a successful partnership between the city of Dingolfing and BMW Group Plant Dingolfing in reducing CO2 emissions and maintaining the region’s status as an industrial hub. The plant’s director, Christoph Schröder, expressed the company’s belief that regional biomass availability and power-to-heat technologies will play a vital role in its heating strategy, reducing reliance on fossil fuels like gas and oil.

About BMW Group Plant Dingolfing

BMW Group Plant Dingolfing is the largest production site for BMW in Europe. It produces over 1,500 vehicles per day, including models like the BMW 4 Series, 5 Series, 6 Series, 7 Series, and 8 Series, as well as the fully electric BMW iX. With a workforce of more than 18,000 employees and 850 apprentices, it is not only the largest employer in the region but also a significant industrial production and vocational training facility in Germany.

In addition to vehicle production, Dingolfing plant manufactures vehicle components such as pressed parts, chassis, and drive systems. It is also the global Competence Centre for E-Drive Production, supplying electric motors and high-voltage batteries to BMW Group vehicle plants worldwide for the production of plug-in hybrids and electric models. Additionally, the facility produces car bodies for Rolls-Royce models and operates the Dynamics Centre, a key storage and transshipment facility for BMW and MINI original parts and equipment.

ROLLS-ROYCE MOTOR CARS ANNOUNCES NEW REGIONAL DIRECTOR FOR GREATER CHINA

Rolls-Royce Motor Cars has announced that Anthony Zhao has been appointed Regional Director for Greater China, transitioning into the role on 1 June 2023.

As one of the world’s leading luxury markets, China is of crucial strategic significance for Rolls-Royce Motor Cars. Known for its young and eclectic luxury clientele, China is expected to become the marque’s largest market in the next few years.

Anthony Zhao has extensive knowledge and experience in China, particularly in the South of the country, which is renowned as a global hub for luxury. Anthony has a deep understanding of the region and the ultra-high-net-worth Chinese luxury consumers, whose unique tastes and appetite for highly bespoke products attract them to Rolls-Royce’s model range. With a strong client focus, he brings a wealth of experience to his new role, having achieved significant success in a range of senior management positions within the industry, including over the last seven years as Head of Sales, South Region, BMW Brilliance Automotive.

Henrik Wilhelmsmeyer, Director of Sales and Brand for Rolls-Royce Motor Cars said, “I am delighted to welcome Anthony Zhao to the Rolls-Royce team as Regional Director for Greater China. He has an outstanding track record, and his broad experience in the vitally important Chinese market means he is ideally suited to this position. I worked closely with Anthony during my own time working in China and he greatly impressed me with his capabilities. Greater China plays a crucial strategic role in Rolls-Royce’s global success, and I look forward to working with Anthony to build on our strong position in the region.”

Leon Li, previously Regional Director of Rolls-Royce Motor Cars Greater China, has left the company in order to pursue other business interests.