The BMW Group announced the completion of a $1.7 billion investment in its South Carolina operations, celebrated at the “Home of X” event at BMW Group Plant Spartanburg.
With this milestone, BMW has completed the expansion of Plant Spartanburg and the construction of Plant Woodruff, establishing the foundation for assembling fully electric BMW vehicles in South Carolina. The United States remains one of BMW Group’s most important markets and business ecosystems worldwide.
The event also marked the world premiere of the new, fifth-generation BMW X5. BMW confirmed the BMW iX5 will be the first fully electric BMW assembled in the United States, starting in late 2026.
Milan Nedeljković, Chairman of the Board of Management, BMW AG, stated that when the company announced its investment plans for South Carolina in 2022, it made a clear commitment to the future of the BMW Group in the United States. He said the completion of investments in Plant Spartanburg and Plant Woodruff demonstrates confidence in the United States and reinforces South Carolina’s role at the centre of BMW Group’s global operations.
Home of X and Economic Impact
Home of X recognises the significant role the United States plays in BMW Group’s global operations. South Carolina is home to BMW Group’s largest plant worldwide. For more than 50 years, BMW has maintained a strong US commitment, growing to nearly 30 locations across 12 states. Today, BMW Group’s US business activities support more than 120,000 jobs nationwide and contribute more than $43.3 billion annually to the US economy.
Established more than three decades ago, Plant Spartanburg is the global centre of competence for BMW X models. Since 1994, more than 7.3 million BMW vehicles have been assembled in South Carolina. In 2025, 412,799 BMW X models were assembled there—the seventh time the plant exceeded 400,000 units.
Approximately half of current production is exported to nearly 120 countries, making BMW the leading automotive exporter in the United States by value. To date, nearly 3 million BMWs have been exported from the US, valued at over $113 billion. Together, Plant Spartanburg and Plant Woodruff will enable assembly of the next generation of BMW X vehicles, including fully electric models.
New BMW X5 with Five Drivetrains
A centrepiece of the celebration was the world premiere of the new BMW X5. The X5 established the premium Sports Utility Vehicle segment and became one of the most successful products in BMW history. Since 1999, over 3 million X5 models have sold worldwide, a third of them in the US.
Assembled at Plant Spartanburg for over 25 years, the new X5 becomes the first vehicle offered with five drivetrain technologies, spanning internal combustion, battery electric, plug-in hybrid electric, diesel, and soon fuel cell electric powered by hydrogen. Plant Spartanburg will be the first plant in BMW Group’s global network capable of assembling a single vehicle with five different drivetrain technologies on one assembly line.
Nedeljković stated the strategic course remains unchanged, with the company continuing the technology-open strategy that has made BMW successful. Sebastian Mackensen, President & CEO, BMW of North America, said the new X5 demonstrates the belief that innovation and customer choice go hand in hand, with the technology-open approach putting customers in the driver’s seat regardless of drivetrain choice.
Electrification Strategy and Future Models
BMW confirmed the iX5 will be the first fully electric BMW assembled in the United States, with assembly scheduled to begin before the end of 2026. The announcement fulfils a key commitment from the company’s 2022 investment announcement.
By 2030, BMW Group will assemble at least six fully electric BMW models in the United States, supported by locally assembled high-voltage batteries from Plant Woodruff.
Dr. Robert Engelhorn, President & CEO, BMW Manufacturing Co., stated the future of BMW X models will continue to be shaped in South Carolina. From efficient combustion engines and plug-in hybrid systems to battery-electric and future hydrogen-powered vehicles, Plant Spartanburg will assemble a broad range of drivetrain technologies, strengthening resilience and supporting customer choice.
iFACTORY Digitalization and AI
The BMW iFACTORY concept defines BMW Group’s strategic vision for the future of its production network, driven by efficiency, sustainability, and digitalization. At both Plant Spartanburg and Plant Woodruff, its guiding principles are already reality through smart automation, end-to-end data integration, and virtual planning, with a highly skilled workforce at the core. Digital twins optimise processes before the first component reaches the line, while 3D simulations reduce complexity and enhance ergonomics.
Artificial intelligence is deeply anchored in both plants. AI-supported applications, including self-correcting robotics and vision-based quality controls, help ensure high standards, with the in-house AIQX platform using sensors and cameras to automate quality processes and provide real-time feedback. Plant Spartanburg advances further through physical AI, deploying humanoid robots from Figure AI to support associates in demanding, repetitive tasks.
At Plant Woodruff, BMW deploys intelligent, next-generation manufacturing first proven in virtual environments, setting new standards in high-voltage battery assembly. Following the “Cell-to-Pack” principle, cells are assembled directly into the housing without former cell coating and module production processes. Across both plants, innovative technologies support and protect people while enhancing production performance, resilience, and flexibility.