BMW is reaching a major milestone at its historic Munich plant. Starting in August, the factory will begin building the BMW i3, the second model in their new “Neue Klasse” lineup. This marks the start of a worldwide launch for these next-generation vehicles.

To prepare, BMW has spent the past few years updating the facility. Instead of just adding new equipment, they have rebuilt the plant from the ground up to make electric cars more efficiently. By 2027, the Munich plant will produce only electric vehicles.

“We have been making rigorous preparations. With the BMW iFACTORY we have devised a consistent, strategic framework for our production,” explained Milan Nedeljković, Member of the Board of Management of BMW AG, Production. “We have paved the way for the upcoming start-ups in all our plants and have invested heavily in technologies, digitalisation and AI.”

A More Efficient, All-Electric BMW Plant

BMW assembly
BMW Group Plant Munich Assembly; Photo: BMW Group

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What’s especially impressive is that BMW kept the factory running during the rebuild. While building a new body shop and assembly areas, the plant continued to produce up to 1,000 cars each day.

This overhaul is not only about being more environmentally friendly, but also about saving money. Peter Weber, who leads the Munich plant, says they have already reduced costs. “With the start of production of the BMW i3, we will reduce overall production costs at the Munich plant by a further 10 per cent, bringing them below the level of the current vehicle generation,” he said.

The factory is also becoming much smarter. In the paint shop, AI-powered cameras can detect small imperfections that people might overlook. In the assembly area, the cars communicate with the system, sending updates on up to 20,000 different features as they are built.

Even with all this high-tech help, the company credits its staff for making it happen.

“The people at the factory played an essential role in making this transformation a success,” Weber added. “With their high level of expertise, enthusiasm and tremendous dedication, our employees have shown that world-class industrial production is possible even under the toughest conditions.”