# New BMW Plant in Mexico to Be Announced on Thursday



## BestCS (Jun 30, 2009)

I'm not sure I want my BMW made in Mexico. I much prefer the Fatherland!


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## Dave 20T (Apr 7, 2013)

I would be less inclined to buy a BMW that is made in Mexico. Another problem is that with a Mexican plant, expect more Mexican content, even in German built BMWs.

Everyone has their own feelings, but I tend to favor cars from certain countries, such as the area of Germany that used to be West Germany, USA, Canada, Sweden, Australia, Finland, etc. Belgium, Thailand, areas of Germany that used to be East Germany and Korea are on my second tier. Mexico is on my third tier. India, People's Republic of China, Russia, are not even considered.


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## Capobranco (Mar 15, 2010)

Given the science of modern production techniques, there is little doubt that a Mexican BMW will not be the equivalent in terms of quality measures to BMWs produced in other plants. However, the myriad of elements that influence our perception of the brand generally and its "prestige" in particular is a vexing confluence of romantic myth and fact. Perhaps an unfair characterization but to many a "Mexican BMW" is an oxymoron.


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## pilotman (Feb 2, 2006)

I agree with you guys, but BMW has to compete and they need to shift more and more production out of Germany. Nissan and Mercedes are collabarating heavily now, and BMW is the last independent automaker.

Not sure how long they can keep that up.


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## MasterYoda (Apr 4, 2013)

I agree with you guys. I'm not that into a Mexican BMW. To be honest I'm not into South African or US BMWs either. Going forward I will continue to do ED and buy/lease cars that are assembled in Germany. 


Sent from BimmerApp mobile app


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## aioros (Feb 7, 2009)

Bottom line is: profits, profits, profits.
"Quote:
Manufacturing in Mexico allows European car makers to sell vehicles in the United States while avoiding some of the currency and tariff costs that crimp profits on imports. Mexico also offers lower labor costs than Germany and the United States.
At around $2.50 an hour, manufacturing wages in the country are nearly 20 percent cheaper than in China, according to a Bank of America study. That study put U.S. manufacturing wages at just under $20 an hour, on average." It will cost near a 10th of the current cost to make a car in the USA or Germany than in Mexico...but dont expect the price of their vehicles to be that 10th of the current cost.

But for those afraid of buying a pretigious and luxury car brand made in a third world country, say MB or BMW, let me say this: factory, production, labor and some parts will be, in this case, mexicans, but design, quality control, engineering, etc will be still German. We're not talking about a brand new car maker from Mexico, Brasil or China. We're talking about BMW making cars in Mexico for a 10th of the cost to sell in the USA for 90% higher profits.


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## gkr778 (Feb 8, 2013)

Dave 20T said:


> Another problem is that with a Mexican plant, expect more Mexican content, even in German built BMWs.


That's not a problem.

Bringing production of BMW automobiles (and the components that comprise them) closer to the markets in which they are sold is a :thumbup: all around. And Mexico is ideally suited for serving as a production hub for its own domestic market plus USA, Canada, and Latin America. It offers an unbeatable combination of engineering talent, favorable cost structure, and central location within the Americas.


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## falar (Mar 23, 2013)

I want my "Bavarian Motor Works" car to be made in Bavaria.

Yes, I know that 40 percent of the car comes from elsewhere already but I at least want a German assembly site.


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## IntlExec (Jun 23, 2014)

Here in the USA all BMW SUVs are made and exported worldwide from the Greenville plant. I am certain BMW will not manufacture their high end. series there.


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## gkr778 (Feb 8, 2013)

IntlExec said:


> I am certain BMW will not manufacture their high end. series there.


Ever? What makes you certain that's the case?


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## Elias (Jun 26, 2005)

If BMW is going to start producing cars in Mexico which would be a substantial cost savings. Is BMW going to 
pass some of those savings to us the consumers? I don't think so, that being said I will not be buying any future BMW's made in Mexico or South Africa.


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## gkr778 (Feb 8, 2013)

Elias said:


> I will not be buying any future BMW's made in Mexico or South Africa.


Any specific reason for that stance? European Delivery perhaps?


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## IntlExec (Jun 23, 2014)

*Bmw mexico*

Decades ago I visited a small BMW plant where the 300 series were assembled for them to gain an edge on Mexico high import duties on imported vehicles. This was a true assembly plant because most of the vehicle was already exported in parts with no local content.
The new plant will be a full operation in Mexico expect NAFTA origin parts on assembly.

:bigpimp:


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## need4speed (May 26, 2006)

I will give the Mexican BMW a pass. Just does not feel right. N4S


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## gkr778 (Feb 8, 2013)

IntlExec said:


> Decades ago I visited a small BMW plant where the 300 series were assembled for them to gain an edge on Mexico high import duties on imported vehicles. This was a true assembly plant because most of the vehicle was already exported in parts with no local content.
> The new plant will be a full operation in Mexico expect NAFTA origin parts on assembly.


Ah yes, back in 1995 BMW began assembling vehicles from knock-down kits (CKD and SKD) at its plant near Toluca. I think that the majority of armored BMW Security Vehicles are still assembled there.


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## Elias (Jun 26, 2005)

gkr778 said:


> Any specific reason for that stance? European Delivery perhaps?


BMW is charging me a premium price for a car built in Mexico at a significant lower cost to them. I choose not to pay the same price as a car built in Mexico as in Germany.


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## IntlExec (Jun 23, 2014)

BMW NA already assemble all SUVs and sport Z model in Greenville, who knows what they will assemble in MX.
Something to fight the Japs 300 series Maybe .? BMW is not going to pass high 500-700-M Series to Mexico that is their Flagship line.
Do you think they are going to layoff Germans like we do in the USA as normal occurrence...


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## gkr778 (Feb 8, 2013)

Elias said:


> BMW is charging me a premium price for a car built in Mexico at a significant lower cost to them. I choose not to pay the same price as a car built in Mexico as in Germany.


Retail prices for vehicles in specific markets are governed by supply, demand, and regulatory factors. They are independent of the vehicles' assembly location.

If you purchase a new BMW product, the company is charging you a premium no matter what. The premium for U.S. customers is less than that for almost any other market, though.


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## IntlExec (Jun 23, 2014)

Yes indeed all my friend in Germany and Italy need to wait weeks and sometimes months to get delivery of a new Audi, BMW or MB we are spoiled in the USA.
Not only do we purchase the vehicle on Saturday but we drive it the same day or in a few days ....at much lower price than the EU.
But we manage to complaint !


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## Elias (Jun 26, 2005)

IntlExec said:


> Yes indeed all my friend in Germany and Italy need to wait weeks and sometimes months to get delivery of a new Audi, BMW or MB we are spoiled in the USA.
> Not only do we purchase the vehicle on Saturday but we drive it the same day or in a few days ....at much lower price than the EU.
> But we manage to complaint !


Bmw, Audi and MB have posted record sales and profits recently so them selling cars to US at a lower price based on the lower value of the dollar compared to the Euro hasn't hurt their
bottom line one bit. Now they want to boost their bottom line and produce cars in Mexico. 
its a good business decision but the trade off is, some people will be turned off by it, me
being one of those, who will not spend money on a car built in Mexico at a premium price.


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## IntlExec (Jun 23, 2014)

Possibly, but I am certain we will not see flashy commercials from BMW advertising Made in Mexico !
The same as all " USA Made " cars sold in the USA and made in Mexico and Canada..........


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## pharding (Mar 14, 2004)

I would never buy a BMW produced in Mexico.


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## thegandalf (Sep 8, 2012)

Question is which models. I am thinking 2er, 3er and 4er where the profits are not as high. Could this be the end of ED for these models?
Any one ready to sign up for MD at san Luis Potosi? Would BMW include bodyguards to complement the experience?


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## gkr778 (Feb 8, 2013)

Elias said:


> its a good business decision but the trade off is, some people will be turned off by it, me being one of those, who will not spend money on a car built in Mexico at a premium price.


A VERY good business decision, with Mexico offering what's arguably the best combination of attributes extant for automotive manufacturing in the Western Hemisphere and possibly the world: high quality and productivity, ample engineering and skilled trades talent, a multitude of free trade agreements, competitive cost structure, and central location.

The proportion of BMW customers "turned off by it" is close to nil considering the export potential of a Mexico based assembly plant.


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## listerone (Jul 21, 2009)

I'll buy a BMW made in Germany or the US.I'll never buy one made in South Africa or Mexicr China for that matter.


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## DBV (Sep 21, 2008)

Totally agree with your statement. I will never buy any car made in Mexico. Only will buy a BMW made in Germany or US.



listerone said:


> I'll buy a BMW made in Germany or the US.I'll never buy one made in South Africa or Mexicr China for that matter.


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## AJPITT (Jun 24, 2013)

My guess is that the ED program will still exist and your car will be made in GER if you choose ED. The issue here is psychological/perception. I have a SA build and it is absolutely fine, you would not know it was buit in SA if no one told you but even I read the report above and felt like I would not want a car from Mexico. As long as quality and engineering are the same, it should be fine regardless of where it is made but again, there is that psychological factor that we would need to deal with. I was thinking ED for my next car anyway so we will see.


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## IntlExec (Jun 23, 2014)

Before you say USA made take a look:
http://www.howtobuyamerican.com/content/db/b-db-autos.shtml


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## gkr778 (Feb 8, 2013)

IntlExec said:


> Before you say USA made take a look:
> http://www.howtobuyamerican.com/content/db/b-db-autos.shtml


That list is seriously out of date.

Also, the proprietor of howtobuyamerican.com, Roger Simmermaker, is a shill for labor unions.


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## tim330i (Dec 18, 2001)

And the details are live - http://www.bimmerfest.com/forums/showthread.php?t=781582

No mention of which models will be build in Mexico yet.

Tim


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## luigi524td (Apr 4, 2005)

Several other multi-national car manufacturers have (successfully) been building/assembling cars / truck in Mexico for years. The perception of a corrupt, drug-ridden, poor illiterate low-life country is only one picture painted.


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## gkr778 (Feb 8, 2013)

tim330i said:


> And the details are live - http://www.bimmerfest.com/forums/showthread.php?t=781582
> 
> No mention of which models will be build in Mexico yet.
> 
> Tim


Thanks Tim!

Here's the link on BMW Group's media site


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