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A look back on BMW, South Carolina and Southern manufacturing

It has been 20 years since BMW broke ground on its Spartanburg, SC manufacturing facility, and while the automaker doesn't have any plans to mark the moment, economists and industry analysts have taken a closer look at the facility's impact on South Carolina, the South and global manufacturing. As of November, the Spartanburg plant's 7,000 employees cranked out 25,000 vehicles per month, and BMW has poured some $6 billion into the state since the plant opened in 1993. While that figure nearly matches the state's proposed budget for next year, some say there have been drawbacks.
To begin with, South Carolina provided BMW with hundreds of millions of dollars worth of public money and tax breaks with little public oversight, setting a precedent that would repeat itself with other corporations. The Detroit News reports that a Pew Center evaluation found 26 states didn't have a sufficient system for evaluating tax incentive performance. But BMW opened the door for a Southern manufacturing renaissance, with automakers from Mercedes-Benz to Hyundai and Volkswagen opening plants in the Deep South.
While states have raced to offer ever sweeter tax and cash incentives for big manufacturers, officials say BMW is proof the system can pay dividends. You can read the full piece here.

Recharge Wrap-up: BMW X5 PHEV debuting in Shanghai, Proterra sets up shop in CA

South Carolina-based Proterra has received funding to build electric buses in California. The California Energy Commission has awarded the company, which is headed by former Tesla executive Ryan Popple, a $3-million grant. Proterra will use the funds for a facility in the LA suburb the City of Industry, where its largest customer, Foothill Transit, also operates. Proterra has also opened an office in San Bruno, just south of San Francisco. Read more at SFGate or at ValueWalk. Despite its "urban mobility" design, the BMW i3 has become popular outside of large cities. Rather than singular urban centers, "The strongholds in this country are parts of California, Texas and southern Florida," said BMW North America CEO Ludwig Willisch. He also says the electric car hasn't been particularly successful in the Northeast, with cities like New York perhaps not being as mindful of sustainability as California. BMW is also nearing i3 sales of 12,000 a year, which Willisch calls "a sustainable rate." Read more at Automotive News. BMW will debut its X5 xDrive40e plug-in hybrid at the Shanghai Motor Show this month. It is the first PHEV from BMW's core brand (not from its i sub-brand). It uses a turbocharged four-cylinder engine and electric motor for a total of 313 horsepower, and a combined fuel economy of about 70 miles per gallon (according to the ECE test cycle). Press days for the Shanghai Motor Show are April 20-21. Read more in the press release below. BMW at Auto Shanghai 2015. At a glance •BMW at the 16th International Automobile & Manufacturing Technology Exhibition (Auto Shanghai) from 22 – 29 April 2015 (Press Days from 20 – 21 April). •BMW presents a world premiere, four Asian premieres and two Chinese premieres in Shanghai. •World premiere: the BMW X5 xDrive40e Sports Activity Vehicle is the first plug-in hybrid series-production model from the BMW core brand. •Asian premiere: the new BMW 2 Series Gran Tourer is the first premium model in its segment to offer maximum variability and room for up to seven people. •Asian premiere: the new edition of the BMW 1 Series is even more expressive, sporting and efficient than before. •Chinese premiere for the three athletes in the luxury class: the new BMW 6 Series Convertible, the new BMW 6 Series Coupe and the new BMW 6 Series Gran Coupe. •Chinese premiere with top-notch driving dynamics, efficiency and exclusivity: the new BMW M6 Coupe and the new BMW M6 Gran Coupe.

BMW M boss denies supercar collaboration with McLaren

The first time there was a McLaren Honda Formula 1 team, McLaren did some moonlighting with BMW on a supercar for all time, the F1. It just so happens that McLaren Honda is a thing again, and Car magazine recently ran a piece saying McLaren and BMW would get back together on another hopped-up coupe with roughly the same working agreement as before: BMW supplies a screaming V8, McLaren builds the body to go around it. Only this time the car would be a BMW model, not a McLaren, and be BMW's version of the next-generation McLaren 650S. The Car piece said that BMW head of R&D Klaus Frolich first got in touch with McLaren nine months ago, however, the head of BMW's M division, Frank van Meel, said he doesn't know anything about it. Mentioning every BMW exec referred to in the story, van Meel told Australia's Motoring, "I haven't had a phone call, [CEO] Harald Kruger hasn't had a phone call, and Klaus Frohlich hasn't had a phone call." The Car story said the reason BMW hasn't done a conventionally powered exotic recently is that former CEO Norbert Reithofer didn't want anything to eclipse the i8, the i brand, and the eco credentials the brand is charged with promoting. Changes in the executive suite – new CEO, new M boss, new R&D chief – were thought to meant changes in approach. Not according to van Meel, who gave those same i brand reasons to Motoring as then reasons BMW has no interest in a 750-horsepower, quad-turbo coupe. On top of that, after spending billions to move the game forward with in-house carbon fiber technology, van Meel asked, "I don't understand why we would need to work with McLaren for a supercar anyway. All of the technologies the story suggested are technologies that are core competences here at BMW and at M. Nobody in the world is more advanced with carbon-fibre than we are." The extent of the denial is so detailed that we're inclined to believe BMW on this one; cover stories usually stop at curt phrases like "We have no knowledge of that" or "We don't comment on future product." So you can put away your dreams of a McLaren F1 Part Two. For now. Related Video: