BMW plans to build new assembly plants around the world, hesitating between Mexico and Eastern Europe.
A person familiar with the situation declared that the company plans to expand its production sites but didn’t make up its mind on whether to choose Mexico or Eastern Europe, adding that Hungary’s Miskolc and Slovakia’s Kosice are possible candidates. Although BMW didn’t comment on the rumors, earlier this month it said that the company doesn’t have plans to build a facility in Slovakia.
Just like the other automakers, BMW tries to boost its sales abroad in the following years, avoiding Europe where the market is falling amid the euro zone debt crisis. Earlier this month BMW’s rival Volkswagen declared it plans to build an assembly plant in Mexico to produce premium Audi SUVs beginning 2016.
“Good infrastructure, competitive cost structures and existing free trade agreements played a significant role in the choice of Mexico,” said Audi chief executive Rupert Stadler.
Now it remains to be seen whether BMW will also choose Mexico or will focus on other countries around the world. Mexico was also chosen by GM which builds here the Cadillac SRX and Escalade in Ramos Arizpe.