tech360.tv
Apr 152 min
BMW's joint venture with Great Wall Motor, called Spotlight Automotive, is gearing up to design and manufacture electric vehicles (EVs) that will be sold globally. The venture plans to assemble cars, including models under the BMW-owned brand Mini, in China's Jiangsu province and export them to markets such as Europe and Southeast Asia.
Jason Zhang, the director of governance and public relations at Spotlight Automotive, stated that the company aims to cater to customers worldwide, except for markets with high tariffs on Chinese-made EVs. Zhang emphasized their vision of building cars that meet the demand of people around the world.
Spotlight Automotive was established in 2019, with BMW and Great Wall each contributing equally to a total investment of 5.1 billion yuan (US$704.7 million). The company operates a factory in Zhangjiagang city, capable of assembling 160,000 vehicles annually, and a research and development center in Shanghai with around 300 engineers.
The decision to relocate the production of electric Mini cars from the United Kingdom to the joint venture with Great Wall in 2022 is part of BMW's efforts to enhance the brand's profile and attract young buyers. The Zhangjiagang plant is expected to produce three models, including two battery-powered cars under the Mini brand.
While the EV market in China experienced significant growth last year, with sales reaching 8.9 million units, there are concerns about a potential slowdown in sales growth this year. The European Commission has launched an investigation into state subsidies and may impose higher tariffs on Chinese-made EVs. Additionally, the Biden administration in the United States is considering restrictions on imports of Chinese EVs due to concerns about data security.
Despite these challenges, analysts believe that major players in the EV industry will continue to pursue their global ambitions. UBS, for example, highlighted the production advantage of BYD's fully electric sedan, Seal, over Tesla's Model 3 assembled in China. The lower manufacturing cost of the BYD car positions it as a potential rival to the Model 3.
Spotlight Automotive, BMW's joint venture with Great Wall Motor, plans to assemble EVs, including Mini cars, in China for global distribution.
The company aims to cater to customers worldwide, except for markets with high tariffs on Chinese-made EVs. The relocation of electric Mini car production from the UK to China is part of BMW's strategy to raise the brand's profile and attract young buyers.
Source: SCMP