BMW Group has Inflated its Activities in China
The BMW Group is the most renowned name among the manufacturers of vehicles and motorbikes and BMW, Rolls-Royce and MINI are its best selling brands. Being a global company, this group manages the 24 manufacturing facilities in the 13 countries. Global sales network of the BMW group has expanded in above 140 countries, in 2010 1.46 million cars and above 110,000 motorcycles were sold worldwide.
Enduring thinking has induced this multinational group to spread out its activities, that’s why it has planned to expand its activities in China. Chairman of the Board of Management of BMW AG, Norbert Reithofer said, “BMW Group vehicles are very popular in China. We anticipate that this growth will continue in the future. Therefore, together with our Joint Venture partner Brilliance we will increase the previously announced investment of 560 million Euros in our Chinese facility in Shenyang to around one billion Euros.” Rising popularity of BMW vehicles has encouraged the BMW group to take this step.
Bothe the partners have chalked out to construct a press shop, as a part of the investment. In addition to the press shop, a paint shop which will help to expand the infrastructure as well as grounding of high production capabilities at the new plant in Shenyang in the coming years is also the part of investment. It is estimated that BMW X1 will be manufactured in the new plant and its production will be initiated in 2012.
Expansion of activities of BMW group in China will sprout almost 4000 job opportunities in the upcoming years. On the other side, estimated production capacity will rise to 100,000 automobiles per year. Since 2003, along with the Brilliance, which is the joint venture partner of the BMW group, it is producing BMW 3series and 5 series models in Shenyang. As a result, China has become the third largest market for the BMW group worldwide. The recent action of BMW group will leave positive impact on the economy of China and it will also be beneficial for the overall growth of the BMW group.