BMW Group Completes $1.7 Billion U.S. Investment and Premieres New BMW X5 at “Home of X” Event in Spartanburg, SC
BMW Group has officially completed its $1.7 billion investment in South Carolina, marking a major milestone in the company’s long-term strategy in the United States. The investment included the expansion of Plant Spartanburg and the construction of the new Plant Woodruff. Together, these two facilities will support the production of the next generation of BMW X models, including fully electric vehicles. During the “Home of X” event, BMW reaffirmed that the United States remains one of its most important global markets and production hubs.
The event also featured the world premiere of the fifth-generation BMW X5. BMW announced that the all-electric BMW iX5 will become the first fully electric BMW assembled in the United States, with production scheduled to begin at Plant Spartanburg before the end of 2026. This fulfills an important commitment made when BMW announced its South Carolina investment plans in 2022. By 2030, the company plans to assemble at least six fully electric BMW models in the United States, supported by locally produced high-voltage batteries from Plant Woodruff.
BMW executives emphasized that the investment demonstrates the company’s confidence in the U.S. market and strengthens South Carolina’s position as a key part of BMW’s global manufacturing network. Plant Spartanburg, BMW’s largest production facility worldwide, has assembled more than 7.3 million vehicles since opening in 1994. In 2025 alone, the plant produced 412,799 BMW X models, marking the seventh time annual production exceeded 400,000 units. Around half of its production is exported to nearly 120 countries, making BMW the leading automotive exporter in the United States by value.
The new BMW X5 highlights BMW’s technology-open strategy by becoming the company’s first model to offer five different drivetrain options: gasoline, diesel, plug-in hybrid, battery electric, and, in the future, hydrogen fuel cell. Plant Spartanburg will also become the first BMW factory in the world capable of assembling a single vehicle model with all five drivetrain technologies on the same production line. BMW believes that offering multiple powertrain options allows customers to choose the technology that best fits their driving needs while supporting the transition toward sustainable mobility.
The company also stressed that the United States plays a central role in its global operations. BMW has maintained a presence in the U.S. for more than 50 years and now operates nearly 30 locations across 12 states. Its American operations support more than 120,000 jobs and contribute over $43 billion annually to the U.S. economy. Together with more than 400 suppliers and numerous strategic partners, BMW expects its U.S. production network to support future growth, innovation, electrification, and customer demand for many years.
BMW also showcased how digitalization and artificial intelligence are transforming production at both Plant Spartanburg and Plant Woodruff under its BMW iFACTORY concept. The facilities use advanced technologies such as digital twins, virtual planning, AI-powered quality control systems, and intelligent robotics to improve efficiency, flexibility, and product quality. AIQX, BMW’s in-house artificial intelligence platform, analyzes production data in real time to support employees and ensure consistent manufacturing standards.
Plant Spartanburg is also leading BMW’s Physical AI Initiative by using humanoid robots from Figure AI to assist employees with physically demanding and repetitive tasks. Meanwhile, Plant Woodruff introduces advanced battery manufacturing through the “Cell-to-Pack” production process, which simplifies battery assembly by integrating battery cells directly into the battery housing. BMW stated that these technologies improve productivity while enhancing workplace safety and preparing its manufacturing network for the future of sustainable mobility.
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