BMW may partner with Great Wall to expand Chinese production
The long-wheelbase BWM X1 that is currently sold in the Chinese market.

BMW may partner with Great Wall to expand Chinese production

13th Oct 2017 7:00 am

BMW is expected to partner with Great Wall to increase production volumes and bolster its EV presence in the world’s biggest market.

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BMW is currently considering another joint venture in China so that it can increase its production volumes and strengthen its electric vehicle presence in the market.

The second joint venture for the German carmaker after its tie-up with Brilliance Automotive, BMW is expected to join hands with Chinese brand Great Wall.

Chinese law requires international brands to partner with a domestic manufacturer to produce vehicles for the market.

The aim of the new partnership is so that BMW can increase production volumes and its market share in the EV segment. The move would be beneficial as the Chinese government is set to introduce strict quotas on the percentage of electric products sold by carmakers. Many manufacturers believe that the norms are too stringent and have asked for leniency in the policy.

Sources suggest that only electric models produced under the BMW-Great Wall joint venture will be built in Changshu.

BMW has not yet confirmed if the plant will churn out BMW-only products or if the agreement involves adding a second production facility for the upcoming electric Mini, which is currently only slated for production at the brand’s Oxford plant in the UK.

BMW is currently the second-largest premium car maker in China after Audi.

SOURCE

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