• 25.08.2024

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BMW’s 20 Billion RMB Investment in Shenyang: A New Era of Innovation and Localization in China

Apr 27, 2024

BMW's 20 Billion RMB Investment in Shenyang: A New Era of Innovation and Localization in China

On April 26, BMW announced plans to invest 20 billion RMB in its production base in Shenyang, focusing on upgrading and innovating the Da Dong Factory to lay a solid foundation for the localization production of BMW’s “New Generation” models in 2026, demonstrating the group’s long-term commitment to the Chinese market. The signing of the investment memorandum was witnessed by the Secretary of the Liaoning Provincial Party Committee and the Chairman of the Standing Committee of the Provincial People’s Congress, Hao Peng, the Deputy Secretary of the Provincial Party Committee and the Governor, Li Lecheng, and the Chairman of BMW Group, Oliver Zipse. BMW Group and BMW Brilliance will deepen strategic cooperation with Liaoning Province and Shenyang City in various areas such as industrial upgrading, technological innovation, supply chain strengthening, and talent development to promote the high-quality development of the new energy and intelligent connected vehicle industry cluster in Northeast China. Hao Peng stated that BMW Group has been deeply rooted in Liaoning for over 20 years, making Shenyang its largest production base globally. Liaoning will continue to support the development of BMW Brilliance and take the signing of this agreement as a new starting point to elevate cooperation to a new level and create a model of Sino-German economic and trade cooperation. Zipse expressed gratitude for the support provided by Liaoning Province and Shenyang City to BMW Group’s investment and development in Liaoning. The “New Generation” represents BMW Group’s largest investment ever, symbolizing a new era of individual intelligent mobility driven by innovation and technology. By 2026, the first “New Generation” model manufactured in China will roll off the production line in Shenyang. The new 20 billion RMB investment plan further highlights China’s core position in BMW Group’s journey towards the future of intelligent connected vehicles. This not only showcases our success in China over the past thirty years but also demonstrates our firm confidence in future development.

BMW's 20 Billion RMB Investment in Shenyang: A New Era of Innovation and Localization in China

BMW Shenyang production base continuously pursues excellence, always leading the automotive industry in technological innovation and progress. With further investment, the Shenyang production base will continue to set new industry benchmarks in intelligent manufacturing and green production. In the field of intelligent manufacturing, AI technology is widely used at the Shenyang production base, with approximately 100 AI applications already online. For example, the industry’s first self-developed AI intelligent quality inspection system in the stamping workshop, and AI visual inspection in the painting workshop, using real-time process monitoring and instant data analysis to improve production efficiency and optimize product quality. “Digital twins” technology integrates the virtual and real worlds, shortening the construction cycle of a brand new vehicle factory by 6 months. In the field of green production, sustainable concepts and circular economy are fully integrated into various operational aspects of the production base. Since 2019, the entire BMW Shenyang production base has been using 100% renewable electricity; the “smart energy” system has elevated production operation efficiency and green carbon reduction to new heights; the Shenyang production base has also established a comprehensive wastewater treatment system, achieving a closed-loop water resource management; in collaboration with local partners, the industry has achieved the first domestic electric vehicle power battery material closed-loop recycling, effectively reducing 70% of carbon emissions in mineral resource extraction.

BMW's 20 Billion RMB Investment in Shenyang: A New Era of Innovation and Localization in China

BMW Group’s “NextGen” not just a car, but the beginning of a new generation of BMW products, representing BMW’s design, technology, and overall production innovation. The “NextGen” models will be produced in China by 2026. The total investment for the sixth-generation power battery project for the “NextGen” models is 10 billion RMB. The main building of the project was completed in Shenyang in November last year, with equipment installation planned to be completed this year and officially put into use in 2026. BMW Shenyang production base has invested a total of 105 billion RMB since 2010, fulfilling the long-term commitment of “Home in China.” With increasing investment in China and continuous upgrades of production bases, BMW Group will further support the new quality production capacity of the Chinese automotive industry and inject new energy into the economic development of Liaoning Province and Shenyang City.