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German automotive group BMW is investing around €2 billion, approximately US$2.26 billion or AED 8.6 billion, in vehicle production and battery manufacturing in Germany as it prepares for the eighth-generation BMW 3 Series. Around €1 billion has been spent on further developing BMW's Munich and Dingolfing vehicle plants, with another €1 billion invested in the new Irlbach-Straßkirchen battery plant in Lower Bavaria. BMW says the investment is aimed at strengthening value creation, competitive production and job security in Germany, while supporting the transition to the new 3 Series and Neue Klasse technologies.
The fully electric BMW i3 will be built at BMW's extensively renovated Munich plant, using sixth-generation high-voltage batteries supplied by the new Irlbach-Straßkirchen facility.
Combustion-engine and plug-in hybrid 3 Series models will be produced at Dingolfing, where BMW has added a new 3 Series production line to the body shop and integrated the cars into existing assembly and paint operations.
Munich, which has produced the 3 Series continuously since 1975, has received new buildings and production facilities for Neue Klasse technology and has been extensively modernised into an electric-only production location. Dingolfing retains the flexibility to manufacture combustion and plug-in hybrid versions for global markets.
Under BMW's “local for local” strategy, the new-generation production approach will extend beyond Germany. BMW also refers to production of the i3 and 3 Series at San Luis Potosí in Mexico, while a modified version of the 3 Series will be produced for the Chinese market in Shenyang.
The new Irlbach-Straßkirchen plant will assemble BMW's sixth-generation high-voltage batteries and, from October, supply battery systems to Munich for the all-electric i3.
The facility is intended to strengthen regional value creation, secure skilled jobs and bring key electromobility technology closer to BMW's German manufacturing operations.
Around 18 million BMW 3 Series vehicles have been produced since 1975, including approximately 15 million in Germany. BMW describes the 3 Series as the world's most successful premium mid-size automobile.
The new generation also draws on around 760 supplier locations providing components and materials to Munich and Dingolfing. More than 70% are in Europe and over 30% in Germany.
BMW produces more than one million vehicles annually in Germany, representing around a quarter of the cars manufactured in the country, while approximately 55% of BMW Group employees work in Germany.
The eighth-generation 3 Series represents another step in BMW's rollout of Neue Klasse technologies across its core portfolio.
By the end of 2027, BMW plans to have introduced around 40 new or revised models featuring Neue Klasse technologies, with the new 3 Series forming a key part of the company's wider product and manufacturing transformation.
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