Located in Shenyang in Northeast China, the plant will initially build 100,000 BMWs annually before ramping up to around 200,000 units by 2012. BMW says that the plant's maximum capacity is around 300,000 new cars - a figure nearly seven times the automaker's current Chinese production capacity.
BMW's year-to-date sales are up nearly 77 percent in China to around 22,000 units; combined with its MINI division, sales have climbed more than 100 percent over last year's numbers. The automaker says that the new plant will significantly increase its available inventory.
BMW has struggled in China against Volkswagen's Audi luxury brand, which has had the capability to build more cars in China.