BMW Completes $1.7 Billion U.S. Investment, Unveils New iX5 and Advances EV Production in South Carolina

On June 30, 2026, BMW Group announced it has completed its previously announced $1.7 billion investment in South Carolina, marking a major milestone for the automaker’s U.S. manufacturing operations. The company celebrated the achievement during its “Home of X” event at BMW Group Plant Spartanburg, where it also unveiled the fifth-generation BMW X5 and confirmed that the all-electric BMW iX5 will become the first fully electric BMW assembled in the United States, with production beginning in late 2026.

The investment included the expansion of Plant Spartanburg and the construction of the new Plant Woodruff. Together, the two facilities will support the production of the next generation of BMW X models, including battery electric vehicles powered by high-voltage battery packs assembled locally at Plant Woodruff.

“When we announced our investment plans for South Carolina in 2022, we made a clear commitment to the future of the BMW Group in the United States,” said Milan Nedeljković, Chairman of the Board of Management of BMW AG. “Today, we are delivering on that commitment.”

The “Home of X” celebration highlighted the importance of BMW’s U.S. operations. South Carolina is home to BMW’s largest manufacturing plant worldwide, and the company now operates nearly 30 locations across 12 states. BMW says its U.S. business supports more than 120,000 jobs and contributes over $43.3 billion annually to the American economy.

Plant Spartanburg has served as BMW’s global center for X model production since opening in 1994. More than 7.3 million BMW vehicles have been assembled there, with nearly half of current production exported to about 120 countries. In 2025, the plant built 412,799 BMW X models, marking the seventh time annual production exceeded 400,000 vehicles. BMW also remains the leading U.S. automotive exporter by value, having exported nearly 3 million vehicles worth more than $113 billion.

A major highlight of the event was the debut of the redesigned BMW X5. Since launching in 1999, more than 3 million X5 models have been sold globally, including roughly one-third in the United States.

The new X5 will become the first BMW model available with five different powertrain options: gasoline, diesel, plug-in hybrid, battery electric, and a future hydrogen fuel cell version. BMW says this reflects its technology-neutral strategy, allowing customers to choose the drivetrain that best fits their needs instead of focusing on a single propulsion technology.

Plant Spartanburg will also become the first BMW manufacturing facility capable of producing all five drivetrain variants on the same assembly line, providing greater manufacturing flexibility while supporting changing customer demand.

Sebastian Mackensen, President and CEO of BMW of North America, said the new X5 demonstrates BMW’s belief that innovation and customer choice should go hand in hand.

BMW iX5 Offers Impressive 460-kW Charging, 435-Mile Range

Built on BMW’s new 800-volt Gen6 battery architecture, the iX5 features the largest battery pack ever installed in a BMW EV. Its 144-kWh usable battery uses taller 120-mm cylindrical cells and a cell-to-pack design that improves energy density while simplifying battery construction. BMW estimates the iX5 will deliver up to 435 miles of driving range.

Charging performance is among the fastest available in the U.S. The iX5 supports peak DC fast charging of up to 460 kW, allowing a 10% to 80% charge in approximately 22 minutes. BMW says just 10 minutes of charging can add about 170 miles of range.

The iX5 xDrive60 produces 570 horsepower and 593 lb-ft of torque using an electrically excited synchronous rear motor and a front induction motor that can disengage to improve efficiency. The SUV accelerates from 0 to 60 mph in 4.4 seconds.

Inside, the iX5 adopts BMW’s Neue Klasse design language with the Panoramic Vision windshield display, a 17.9-inch central touchscreen, an optional passenger display, Operating System X, and Amazon Alexa+ AI integration. Additional available features include adaptive suspension with active roll stabilization, Bowers & Wilkins audio with Dolby Atmos, and automatic soft-close doors.

The 2027 BMW iX5 xDrive60 starts at $81,250, including destination charges, and will compete with models such as the Rivian R1S, Porsche Cayenne Electric, and Mercedes-Benz EQE SUV.

BMW confirmed that the BMW iX5 will begin production at Plant Spartanburg before the end of 2026, fulfilling a commitment made when the South Carolina investment was announced in 2022. By 2030, BMW plans to assemble at least six fully electric BMW models in the United States.

BMW Manufacturing Strategy

The company’s manufacturing strategy is built around its BMW iFACTORY concept, which emphasizes efficiency, sustainability, and digitalization. Plants Spartanburg and Woodruff use digital twins, virtual production planning, end-to-end data integration, and AI-powered quality control systems to improve manufacturing performance.

Artificial intelligence is integrated throughout production using BMW’s AIQX platform, which combines sensors and cameras to automate inspections and provide real-time feedback to employees. Plant Spartanburg is also testing humanoid robots developed by Figure AI to assist workers with repetitive and physically demanding tasks.

At Plant Woodruff, BMW is introducing a streamlined “Cell-to-Pack” battery manufacturing process that places battery cells directly into the battery housing, eliminating several traditional assembly steps while improving efficiency.

BMW says the combined investments in South Carolina strengthen its long-term manufacturing footprint in the United States while supporting future growth in electrification, advanced manufacturing, and customer choice.