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BMW sees shortage of crossovers in the United States

BMW of North America CEO Ludwig Willisch is anxious to get the Bavarian brand's $1-billion upgrade at the Spartanburg, SC, factory done because the automaker can't keep up with demand for its crossovers. The expansion should boost total capacity there to 450,000 units a year and support production of the upcoming X7. Still, Willisch would love to have more crossovers as soon as possible. "That is a constant battle now, to get more X3s and X5s," he said in an interview about the company's future in North America to Automotive News. If they the supply were available, Willisch predicts he could sell at least another 10,000 of the CUVs. Willisch sees getting the X7 on the market as a big win for the brand, too. "We were able to convince the company that this is exactly what we need in the United States," he said to Automotive News. However, there is a bit of a wait. The model rides on BMW's next-gen platform, and is at least two years away from challenging the Land Rover Range Rover and Mercedes-Benz's renamed GLS-Class (previously the GL-Class). The fullsize CUV reportedly shares development with Rolls-Royce and might offer the best interior of any model bearing the blue and white roundel. The boss also talked about other future product plans for this continent. For example, Willisch reiterated BMW will not bring the 2 Series hatchbacks here, citing a lack of a market for them. There will be plenty more plug-in hybrids available at dealers, though. Due to "legal requirements" and popularity, Willlisch says PHEV versions will be offered throughout the lineup by 2017. Although, the i sub-brand will stick with the i3 and i8 through that time.

Recharge Wrap-up: No Tesla Gigafactory deal with California, BMW i3 recalled

Before the Nevada announcement was hinted at, a deal to incentivize a Tesla Gigafactory in California fell through. Tesla was looking for around $500 million in incentives, which the California Governor's Office of Business and Economic Development was willing to offer in tax breaks along with making the permit and environmental processes easier. According to Senator Ted Gaines, there still remained "a gap between what Tesla wanted and what California was willing to offer," the contents of which were undisclosed. California could still be chosen for another of Tesla's battery plants, should those ever materialize. Read more at The Desert Sun. The California Air Resources Board (CARB) will consider allowing a bit of compliance flexibility to its Zero Emission Vehicle (ZEV) regulations for some automakers. CARB will hold a hearing to discuss giving intermediate volume manufacturers (IVMs) - carmakers that do between 4,501 and 60,000 new vehicle sales in the state - some leniency catching up to the larger manufacturers when it comes to clean vehicle production. The ZEV regulation changes take into account the amount of revenue IVMs have available for developing the cars, particularly plug-in hybrids. Read more at Green Car Congress or see the notice from CARB here. Certain units of the BMW i3 are subject to an airbag recall. For cars built March 31, 2014, the passenger airbag inflator may have been assembled incorrectly, which could keep it from deploying when needed. Owners will be notified by BMW, and the problem will be fixed for free. The recall also affects certain 2014 Mini Cooper models. Learn more at the NHTSA website. The Renault-Nissan Alliance is providing 200 electric vehicles to telecommunications company Orange in France. The cars, which will include the Nissan Leaf, Nissan e-NV200, Renault ZOE and Renault Kangoo ZE, will be used mostly for carsharing. Through the program, Orange employees can book a car for work or personal travel using a smartphone. The Alliance will also help Orange install charging stations for the new cars. The addition of the EVs to the fleet will help Orange achieve its goal of reducing its carbon footprint by 20 percent by 2020. Read more in the press release, below. Jianghuai Automobile Company (JAC) is delivering its first 100 EVs to the US. The shipment is part of a larger order of 2,000 cars to be sold by GreenTech Automotive in the US market. Read more at ECNS.

BMW makes X7 in Spartanburg official

BMW has made it official - there will be a flagship crossover called X7, and it will be built right here in the US of A. The announcement was made today, confirming rumors of the new model at the Spartanburg, SC factory that broke earlier this week.
"Plant Spartanburg was built to enhance and expand the BMW lineup, underscoring the BMW Group commitment to the United States" said Dr. Norbert Reithofer, chairman of the BMW board of management in a statement. "In addition to the X3, X5, X6, and the new X4, we are today announcing another all-new, larger X model to be manufactured exclusively at this plant for our world markets: the X7."
BMW will spend $1 billion by 2016 upgrading its South Carolina factory, which already produces the X3, X5 and X6. The plant is currently capable of producing 300,000 units per year, but with the big investment from BMW, capacity will climb to 450,000 units. 800 jobs will be added as a result of the investment and new and upcoming models.