Photo: BMW
BMW’s recent mysterious announcement regarding revealing a bigger commitment in the US started the rumor mill last week. According to Automotive News, the company is going to reveal 12 new models this year, one of them possibly a bigger SUV, that will be manufactured at the Spartanburg plant in South Carolina.
Chasing new record-breaking profits, the Germans will be looking to expand their production over the borders even further, to drive the costs of production further down and make the most cars closer to their destination markets.
Currently, the USA and China markets are the biggest in the world for the Bavarians, the latter overtaking the former for the first time, last year. That means that the production facilities in both of those countries will be expanded.
China might see the BMW-Brilliance collaboration reach into the 400,000 margin while the US will still be covering around 350,000 units that are destined for all markets since the X3, X4, X5 and X6 models are made in Spartanburg only.
With the raised production levels and cheaper transport for most of their sold vehicles, BMW is expecting the profit before tax levels to grow to new record levels.
"We expect group profit before tax to rise significantly in the current year, despite ongoing volatile business conditions," BMW’s CEO, Norbert Reithofer said at the company’s annual results press conference.
Add this new growth to the already impressive 1.96 million cars sold in 2013 and the 2 million barrier is looking pretty shaky right now. Not only that but the enthusiastic remarks are making bankers and analysts happy at the same time, as profits for them might also go up.
Whether a BMW X7 will be announced or not we’ll just have to wait and see but according to the statements of BMW USA CEO, Dr. Ludwig Willisch, there’s plenty of room on the SUV market for a BMW bigger than the X5, to take on the Escalade and Navigator. That car would probably be sold mainly in the US as European roads would have a hard time handling it but it could become an instant best-seller and a rival for the Mercedes-Benz GL-Class.
Currently, the USA and China markets are the biggest in the world for the Bavarians, the latter overtaking the former for the first time, last year. That means that the production facilities in both of those countries will be expanded.
China might see the BMW-Brilliance collaboration reach into the 400,000 margin while the US will still be covering around 350,000 units that are destined for all markets since the X3, X4, X5 and X6 models are made in Spartanburg only.
With the raised production levels and cheaper transport for most of their sold vehicles, BMW is expecting the profit before tax levels to grow to new record levels.
"We expect group profit before tax to rise significantly in the current year, despite ongoing volatile business conditions," BMW’s CEO, Norbert Reithofer said at the company’s annual results press conference.
Add this new growth to the already impressive 1.96 million cars sold in 2013 and the 2 million barrier is looking pretty shaky right now. Not only that but the enthusiastic remarks are making bankers and analysts happy at the same time, as profits for them might also go up.
Whether a BMW X7 will be announced or not we’ll just have to wait and see but according to the statements of BMW USA CEO, Dr. Ludwig Willisch, there’s plenty of room on the SUV market for a BMW bigger than the X5, to take on the Escalade and Navigator. That car would probably be sold mainly in the US as European roads would have a hard time handling it but it could become an instant best-seller and a rival for the Mercedes-Benz GL-Class.
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