BMW Announces $1.7bn US Investment & Battery Cell Partnership With Envision AESC

BMW and Envision AESC, a Japanese electric vehicle (EV) battery technology company, have announced a new multi-year partnership to supply latest innovation battery cells for the OEM’s next generation EVs. BMW's Chairman of the Board of Management, Oliver Zipse, has also announced a $1.7 billion investment in its US operations, including $1 billion to prepare for the production of electric vehicles at the company’s existing manufacturing facility in South Carolina, and $700 million to build a new high-voltage battery assembly facility in nearby Woodruff, SC.

By 2030 BMW Group will build at least six fully electric models in the US.

 As part of the agreement with BMW, Envision AESC will supply battery cells that result in 20 per cent more energy density, faster charging speeds and an extended range of up to 30 per cent for electric models produced in BMW’s Spartanburg plant in North America by 2030.

To support production, Envision AESC has committed to invest in a dedicated new 30GWh battery manufacturing plant in South Carolina, which will be powered by 100 per cent net zero carbon energy.

Work is currently underway by the company to finalise a suitable site close to BMW’s vehicle production and battery assembly facilities.

The new battery plant builds on an existing battery manufacture plant in Tennessee and a plant under construction in Kentucky, providing up to 70GWh capacity nationally.

Shoichi Matsumoto, Chief Executive Officer of Envision AESC, says: “We are delighted to partner with BMW Group as part of the next stage of growth of our US business. Our new 30GWh battery plant in South Carolina will harness state-of-the-art technology to create denser, lighter and more powerful batteries that travel further, faster without the need to charge. As we embark on this next stage of our journey, we are as committed as ever to working with our customers and strategic partners to drive innovation and continually push the boundaries of performance, safety and efficiency.”

“We are delighted to have found a partner in Envision AESC that will supply our plant in Spartanburg with high-performance battery cells going forward. The new round cell specially designed for the electric architecture of our next generation models will allow us to improve range, driving performance and reduce charging time,” adds Joachim Post, member of the Board of Management of BMW AG responsible for Purchasing and Supplier Network. “At the same time, both our companies are firmly committed to sustainable, environmentally responsible action.”

Jeff Deaton, Managing Director of Envision AESC in the US, adds: “This project represents a shared vision by Envision AESC and BMW Group to accelerate the global transition to carbon neutral transportation. Our planned new battery plant in South Carolina and supporting ecosystem will provide a catalyst for further investment in the local supply chain and whole life cycle opportunities of batteries, renewable energy systems and digital solutions to support the US’ decarbonization, growth and renewal agenda. It will generate thousands of high value green jobs across the whole battery lifecycle, from storage and repurposing to smart charging and closed loop recycling. We are extremely excited to get started.”

Oliver Zipse says: “For decades, Plant Spartanburg has been a cornerstone of the global success of the BMW Group. The home of the BMW X models that are so popular all over the world. Going forward, it will also be a major driver for our electrification strategy, and we will produce at least six fully electric BMW X models here by 2030. That means: The ‘Home of the X’ is also becoming the ‘Home of the Battery Electric Vehicle’.” 

Envision AESC is a global battery technology company headquartered in Zama, Japan.

It has 5,600 employees and 12  and 12 manufacturing sites in Japan, US, U.K., France, Spain and China.