Largest BMW plant will expand this year

BMW's factory in Spartanburg, S.C., is the brand's biggest plant in the world, and it will become even larger when a $1 billion expansion is completed this year, bringing annual capacity to 450,000 vehicles.

Last year, it built a record 400,904 vehicles -- topping that of any of its factories in Germany, BMW says. More than 280,000 crossovers made in Spartanburg were exported.

"We are very fortunate that ... years ago, the company decided to go to the United States and build a plant at a time when everyone was withdrawing," said Ludwig Willisch, CEO of BMW of North America. "It was not only a brave move, but it shows how right the move was. It is a big, important footprint for us."

BMW began production in the U.S. at Spartanburg, its first North American factory, in 1994. It now makes four vehicles in the plant, the X3, X4, X5 and X6. It is adding 100,000 units of capacity and the production of a fifth crossover, the full-size X7 that is being designed primarily for the U.S. The X7 is expected to go on sale in 2018. The plant is BMW's only production site for these crossovers. 

Since producing its first car nearly 22 years ago, Spartanburg has expanded to rank as the industry's biggest producer of vehicles exported from North America, according to BMW. The flexible, high-volume plant is the German automaker's "center of competence" for crossover production, according to BMW executives. 

Last year, BMW Manufacturing Co. said, the export value of the vehicles it made in the Spartanburg plant reached $9.8 billion, "confirming the company's South Carolina facility as the leading U.S. automotive exporter by value," the company said. 

Spartanburg has produced about 3.3 million vehicles since 1994. BMW has invested $6.3 billion at the site since 1992, when the decision to build the plant was announced. It has a daily output of about 1,400 vehicles. It uses components and resources from 270 suppliers -- 40 located in South Carolina. 

Spartanburg is one of BMW's most flexible factories, using a two-line assembly system that allows for quick adjustment to market demands and for the plant to build to order. Its body shop is fully automated. 

Last March, the factory produced its 3 millionth vehicle. The plant has more than 8,000 employees. It has two body shops, a paint shop with two lines and two assembly halls. A new body shop is being constructed. When completed, the factory will have 6.5 million square feet of production space.