FRANKFURT (AFP) – German automaker BMW said on Friday it plans to invest more than EUR2 billion (USD2.1 billion) at its under-construction Hungarian factory, and is building an electric battery assembly plant on site.
The plans for the plant are part of a shift towards electrification at BMW and in the German car industry as a whole.
The firm announced plans in 2018 to build the factory close to the eastern town of Debrecen, joining follow German automakers in manufacturing cars in lower-wage central Europe.
Construction began six months ago, and BMW announced on Friday it would also build the battery plant there as it accelerates its shift towards electric vehicles.
This will create more than 500 additional jobs, and take investment in the plant to over two billion euros, the company said.
It is due to start producing batteries and vehicles by 2025, BMW said.
All batteries for electric cars produced at the Debrecen plant will be assembled on site, said senior vice president Markus Fallboehmer.