Despite NAFTA uncertainty, BMW Mexican plant is 60% completed and going
BMW executives confirmed the plant that the German automaker builds in San Luis Potosi is in time and form, has a 60% advance, the eight buildings are all under construction and the first is going to be completed in November.
Alexander Wehr, CEO of BMW Group Mexico, Latin America and the Caribbean, emphasized that while the renegotiation of NAFTA could lead to a tightening of the company’s numbers, it will not change the strategic decision to invest in Mexico.
He said that launching a car or building a new plant requires five to 10 years of planning in advance, so everything the German automaker does in Mexico, is based on a long-term business plan with numbers and hard figures.
“Yes, there may be some change in the environment, whether political or economic, that an adjustment needs to be made in terms of numbers, but that will not change our strategic decision to invest in Mexico, being the market for Latin America and have a geostrategic position,” he said.
Wehr added that BMW believes in free trade, in value chains that go beyond national borders, so they are convinced that Canada, the United States and Mexico have taken advantage of the potentials in the treaty, although if adjustments have to be made in e-commerce or digitization.
“We see a great future, we have been with our sales office in Mexico for more than 20 years, we have a purchasing office that buys over US$ 2.5 billion a year for export, we are building a plant, we are committed to Mexico 100 percent,” Wehr said to Mexico’s news outlet Notimex.
The official made clear that, while there’s currently plans to produce Series 3 sedans for export and domestic demand, the plant will not only be the most sustainable and efficient in the world, but also the most flexible, allowing them to change the models on the line if there is market demand, without ruling out electric vehicles.