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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.

2014 BMW 4 Series Coupe officially debuts, priced from $41,425*

Well, that didn't take long. Less than two hours after the first images of the 2014 BMW 4 Series Coupe leaked onto the Internet, we've been given the go-ahead to publish the whole kit and caboodle. And while we won't say we told you so, it looks as though the car's official details are standing true to our earlier predictions.
In other words, BMW will offer the 4 Series in 428i and 435i models, both of which can be had with xDrive all-wheel drive. Just like in the 3 Series, the 428i is powered by a 2.0-liter turbocharged inline four-cylinder engine, good for 240 horsepower and 255 pound-feet of torque, and the 435i gets BMW's turbocharged 3.0-liter inline-six making 300 hp and 300 lb-ft. In three of the four models, both a six-speed manual and eight-speed automatic transmission are available; the 428i xDrive can only be had with the auto 'box. The 428i (with rear-wheel drive, we assume) can hit 60 miles per hour in 5.7 seconds (though BMW doesn't specify with which transmission), and the 435i will do that same sprint in 5.3 seconds with the manual and five seconds flat with the eight-speed auto.
We've already dissected the 4 Series' visuals, but the numbers show just how different it is from the 3 Series sedan. The 4 Coupe is one-tenth of an inch longer overall, while riding on the same 110.6-inch wheelbase, is 0.6 inches wider, and has a roofline that's a full 2.7 inches closer to the ground. It looks sleek, incorporating BMW's new design language from the 3 Series with an overall profile that's similar to the larger 6 Series coupe.

BMW looking to save billions with cost cuts

BMW is planning a fairly extensive overhaul in a bid to recoup some its annual costs, with CEO Norbert Reithofer (pictured above) aiming to save three to four billion euro ($4 to $5.4 billion) per year to help keep the company's profit margins between eight and 10 percent, while also maintaining investments in production expansion and new tech. BMW's profit margins sat at 9.4 percent in 2013.
According to Automotive News Europe, Reithofer is none too pleased about costs at Mini and on the 1 Series, although neither AN nor its source story, from Germany's Manager Magazin, elaborate on what steps could be taken to improve losses on either project. That makes it hard to figure out just where the fat will be trimmed from.
What may happen, though, is that BMW attempts to trim 100 million euros ($135 million) from its German labor costs each year; a solution hinted at a few weeks ago by Germany newspaper Muenchner Merkur. While a dramatic cost reduction, 100 million euros still doesn't begin to even approach the savings envisioned by Reithofer.