Hyperdrive

BMW Converts Century-Old German Plant to Make Only Electric Cars

  • Automaker invests €650 million to upgrade its Munich factory
  • Site will produce next-generation ‘Neue Klasse’ EVs from 2026

Employees work on the production line at the BMW plant in Munich, Germany.

Photographer: Alexandra Beier/AFP/Getty Images
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BMW AG is spending €650 million ($712 million) to retool its flagship factory in Munich into the company’s first site that will only make fully electric vehicles, part of a push to challenge leaders Tesla Inc. and BYD Co.

The overhaul involves four buildings including a new assembly line and will be completed by the end of 2027, BMW said Wednesday. The plant, where BMW has been producing cars since 1922, currently makes combustion-engine models, plug-in hybrids and full EVs such as the i4.