German automaker BMW AG today officially opened a $1 billion plant in the central Mexican state of San Luis Potosi.
“The new plant in San Luis Potosi is an important pillar of the BMW Group’s global production strategy. We aim to achieve a balance in our production and sales in the different world regions. We want to strengthen our footprint in important and growing markets,” Oliver Zipse, member of the board of management of BMW AG responsible for production, said in a statement.
The plant is opening at a time when Mexico is facing the threat of possible tariffs from the United States, the country’s No. 1 trading partner, the Efe news reported.
“Plant San Luis Potosi will significantly boost our regional production flexibility in the Americas. From here, we are delivering our locally produced BMW 3 Series Sedan to customers worldwide,” Zipse said.
The plant in San Luis Potosi, the capital of the like-named state, is the German automaker’s first in Mexico.