BMW Group Breaks Ground in Brazil; Will Produce 1-Series Hatch, 3-Series, MINI and More

German luxury car-making group BMW continues to direct the proceeds toward enhancing operations and continuing its global expansion with a new plant in Brazil.

On Monday, the BMW Group hosted an official ceremony to begin the construction of the €200 million (about US$275 million at today’s rates) project in Araquari, Santa Catarina, with the participation of several Brazilian officials, including Michel Temer, the Vice President of the country.

Scheduled to commence operations in the fall of 2014, BMW’s first-ever automotive plant in South America has a target of assembling at least 30,000 vehicles annually, including the MINI Countryman, BMW 1 Series 5-door model, BMW 3 Series Sedan, BMW X1, and BMW X3.

It will comprise a body shop, a paint shop and an assembly facility creating approximately 1,300 direct jobs, and according to BMW, many more within the supplier network of the new factory.

Harald Krüger, Member of the Management Board of BMW AG, responsible for Production, commented in Munich:

“Today, we are laying the cornerstone for the BMW Group’s first automotive plant in South America. The new plant in Brazil will be an important element in our international production network and will make a significant contribution to the BMW Group’s profitable and globally balanced growth. Our strategic principle of “production follows the market” has previously proven effective in markets such as the US and China and will also ensure our success in Brazil as an important future market.”

Upon completion of the new Brazilian plant, the BMW Group’s global manufacturing network will reach 29 production and assembly sites in 13 countries on four continents.



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