Munich. The long-term expansion of the BMW Brilliance
Automotive Ltd. (BBA) Joint Venture has achieved a significant
milestone: On Friday, a Special General Meeting of Brilliance China
Automotive Holdings Ltd. (CBA) in Hongkong approved the sale of a
25 percent shareholding in BBA to the BMW Group. Around 63 percent of
the represented shareholders voted in favor of this step.
As announced in October on the 15th anniversary of BBA,
the BMW Group intends to increase its stake in BBA from 50 percent to
75 percent and both partners signed a corresponding agreement. As part
of the agreement the contractual term of the joint venture, which
would currently expire in 2028, is to be extended to 2040. The
transaction remains subject to the approval of the relevant
authorities. The deal is scheduled to close in 2022 at the latest when
the joint venture requirement for auto manufacturing in China will be lifted.
It is the BMW Group’s goal to further strengthen its long-term
cooperation with CBA, increase production capacity in Shenyang and
continue to expand the localisation of additional models including new
energy vehicles (NEVs). Therefore, an investment of more than three
billion euros in new and existing plant structures in Shenyang over
the coming years was announced in October: In Tiexi, the site’s
capacity will double. With its highly flexible production system, the
new plant in Tiexi will be able to build vehicles with fully electric,
partially electric and conventional drivetrains on a single production
line. Further extensive remodelling and expansion measures will also
be carried out at the neighbouring plant in Dadong. Its structure will
be expanded to accommodate future BMW model variants and the expected
increase in customer demand. As a result, from the early 2020s the
total annual production capacity of BMW automobiles at the BBA plants
will gradually increase to 650,000 units, creating 5,000 new jobs.
If you have any queries, please contact:
Corporate Communications
Max-Morten Borgmann, Corporate Communications
Max-Morten.Borgmann@bmwgroup.com,
Telephone: +49 89 382-24118
Mathias Schmidt, Head of Corporate and Culture Communications
mathias.m.schmidt@bmwgroup.com,
Telephone: +49 89 382-24544
Media website: www.press.bmwgroup.com
Email: presse@bmwgroup.com
The BMW Group
With its four brands BMW, MINI, Rolls-Royce and BMW Motorrad, the BMW
Group is the world’s leading premium manufacturer of automobiles and
motorcycles and also provides premium financial and mobility services.
The BMW Group production network comprises 30 production and assembly
facilities in 14 countries; the company has a global sales network in
more than 140 countries.
In 2018, the BMW Group sold over 2,490,000 passenger vehicles and
more than 165,000 motorcycles worldwide. The profit before tax in the
financial year 2017 was € 10.655 billion on revenues amounting to
€ 98.678 billion. As of 31 December 2017, the BMW Group had a
workforce of 129,932 employees.
The success of the BMW Group has always been based on long-term
thinking and responsible action. The company has therefore established
ecological and social sustainability throughout the value chain,
comprehensive product responsibility and a clear commitment to
conserving resources as an integral part of its strategy.
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