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BMW Ramps Up Neue Klasse EV Production at San Luis Potosí Plant With Massive Investment

BMW's San Luis Potosí Plant 14 photos
Photo: BMW Group
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Many major automotive brands across the globe are adopting electrification. Some are diversifying their range of vehicles with a few electric models, while others, like BMW, are doubling down by creating a whole new series to support electromobility. In order to do that, the Bavarian marque must set in place appropriate production processes. One of BMW's key production sites for EVs is the Plant San Luis Potosí in Mexico, where the company announced that it's investing €800M (about $866M) to support the development of Neue Klasse models.
BMW's revolutionary next-gen electric vehicles will be part of Neue Klasse - the company expects to reach a 50% share of its worldwide sales of all-electric cars by 2030, so it's started investing in its international production network to achieve this feat.

BMW is setting up its own high-voltage battery assembly at the Mexican plant, for which it will invest €500M ($541M) from the total €800M. The assemble center will span over an 85,000 square-meter area, and over 500 employees will produce batteries there.

A member of the Board of Management of BMW AG responsible for Production, Milan Nedeljkovic, explained this investment would create about 1,000 new jobs. He added that the first Neue Klasse vehicles would roll off the production line in Debrecen, Hungary, in 2025, but BMW is preparing for additional volumes by integrating the series at Plant San Luis Potosí starting in 2027.

It's clear that the Bavarian group is investing heavily to support the switch to electromobility. Recently, it announced a massive $1.7B investment for the expansion of its Spartanburg production site in the United States. The investment follows the same pattern as the one for the Mexican plant - $1B is for the preparations to manufacture EVs at the U.S. plant, while $700M will be used to build a new assembly center for high-voltage batteries in nearby Woodruff. The target is to have at least six fully electric models in the United States by the decade's end.

The San Luis Potosí is already crucial for the BMW Group – it's been operating since 2019 with more than 3,000 employees, serving as the birthplace for the BMW 3 Series, 2 Series Coupé, and the new M2. It's designed so that only minor adjustments are necessary to integrate new vehicle architecture. This is a critical detail, as the Neue Klasse models will feature a high-voltage battery directly integrated into the vehicle structure.

Automakers across the globe are taking measures with sustainability in mind - in this case, the Mexican plant is known for its responsible resource management and solutions to reduce carbon dioxide emissions. For instance, San Luis Potosí operates the group's first paint shop that runs without producing process wastewater, with all water ending up treated and reused. Furthermore, the plant is entirely powered by green energy from a 70,000 square-meter solar power installation on the plant grounds, as well as from an external solar farm.

The new lithium-ion battery cells will be manufactured specifically for the sixth generation of BMW eDrive technology, featured in the Neue Klasse vehicles. And they come with some improvements: energy density will be increased by more than 20%, and the charging speed and range will be upgraded by 30%. Moreover, CO2 emissions from cell production will be lowered by up to 60%, as cell suppliers will rely on energy from renewable resources.
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About the author: Mircea Mazuru
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Starting out with a motorcycle permit just because he could get one two years earlier than a driver's license, Mircea keeps his passion for bikes (motor or no motor) alive to this day. His lifelong dream is to build his own custom camper van.
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