Last June, Automotive Energy Supply Corporation (AESC) halted construction at its new battery cell plant in South Carolina. The $1.6-billion project was meant to support production of electric BMWs at the automaker’s Spartanburg facility. Thankfully, the Japanese company’s decision to pause work has not derailed BMW’s EV plans.
In an interview with German business publication Automobilwoche, BMW purchasing chief Nicolai Martin explained how the situation has been defused. To prevent a bottleneck, AESC will supply BMW’s South Carolina plant with battery cells from other factories.
BMW’s $700-million investment in a new battery assembly plant in Woodruff is nearing completion. It will give the automaker the infrastructure to build battery packs for its upcoming EVs. Construction began in late 2023, and the factory will become operational later this year. Martin confirmed the company remains on track to begin EV production in Spartanburg by late 2026.
BMW is staying tight-lipped about which electric vehicles it will build in the U.S., but it has committed to producing at least six models by the end of the decade. Leading the charge is expected to be the iX5, an all-electric version of the fifth-generation X5. Internally known as the “G65,” the luxury SUV has been confirmed for a 2026 debut with combustion engines, plug-in hybrid, and electric powertrains. A hydrogen fuel-cell variant is also planned for select markets starting in 2028.
The iX7 (G67) is expected to follow in 2027, with an iX6 (G66) arriving in 2028. There are also rumors of a G74 model slated for 2029, reportedly derived from the next X5 but with a more off-road-oriented focus and a mix of hybrid and electric power. That still leaves two models unaccounted for, both likely SUVs. All are expected to fall under the Neue Klasse umbrella, even though these zero-emission heavyweights will continue to use the CLAR platform shared with their combustion-engine counterparts.
Meanwhile, BMW freed up production capacity at the Spartanburg plant by retiring the X4. The final “G02” rolled off the line in November, with no direct replacement planned. A fully electric iX4 is in development, though its production location remains unclear. BMW could opt to build the coupe-style electric crossover at its new plant in Debrecen, Hungary, where the iX3 is already in production.
Source: Automobilwoche (subscription required)
