BMW announced they will invest $ 1 billion to build a new luxury car factory in northern Mexico. it will start its production in 2019, and it will be a try to extend the production company from US.
BMW board member Harald Kruger said that the plant in the northern state of San Luis Potosi will make 150,000 cars a year while there will be working 1,500 people.
Harald Kruger made the announcement in Mexico City and was accompanied by President Enrique Pena Nieto.
The other north American factory will receive $ 1 billion to grow their production to 450. 000 cars by the end of 2016. This factory is in South Carolina.
BMW has 28 factories in 13 counties. It is building a plant in Brazil, in Santa Catarina. The factory will start it’s work in 2014.
BMW and Mercedes brands have been battling each other for the leader position on the luxury autos sale market, since 2011. Each year after 2011 BMW has finished secondly, but this year they decided to invest money in Mexic after Mercedes brand has announced that they would do this and not $ 1 billion, but $ 1.6 billion for a factory making Infinity and Mercedes premium compact cars
Mexico has become a preferred spot for car makers because of low wages, its proximity to the United States and free trade agreements with 45 countries.
A Munich plant of BMW brand