BMW Mini will be made in China. The message bring ripple into quite auto industry pond.
According to overseas media, BMW Shenyang Tiexi District plant will produce new Mini MK3 in 2015. It is no smoke without fire. Zhenggao CHEN, governor of Liaoning Province announced at Tiexi District plant of BMW before that ¡°5 series, X1 and 3 series has been China made, I believe Mini shall be China made in the future as well.¡± Considering about Oxford plant operated overload and Tiexi plant enlarge its production capacity, people will think about the future of Mini.
According to European Inautonews report, Shenyang Tiexi plant of BMW will be used for Mini production in 2015. At present, BMW is enlarging its production capacity in China for its small size cars.
Mini has been produced in Oxford plant before, and production capacity is able to meet global demand. With sales increasing, Oxford plant production capacity has full load at the beginning of this year. Mini has transferred part of its production capacity to Netherlands Nedcar plant.
Meanwhile, Brilliance BMW Dadong plant is implementing production enlarge project. According to the pace, Brilliance BMW production capacity will increase to 560 thousand in 2017.
Analyst believes that BMW decides to China made Mini because of sales increase and export quote is limited.
However, about Mini China made message, ¡°We have not heard about it.¡± Olaf Kastner, the CEO and president, answered the question. ¡°We focus on BMW X1, new 3 series and 3L. We will build those brands China made at first. Others will be considered later.¡±
Yu ZHAO, auto industry analyst told reporter that Mini accessories are not the same with 5 or 3 series, which means it will not be China made in short time.
Besides, ¡°Critical line of China made is around 100 thousand sales volume.¡± Some people said, because of huge cost of production line, modules, and supplier network build. Training and marketing fees are variable as well. ¡°at present, Mini annual sales is only 20-30 thousand. Therefore, Mini China made is a long time plan, cannot be achieved shortly.¡±
Mini has sold 2740 in China in Sept, which has increased 4.1%. Sales of the first three quarters are 19.5 thousand, which has increased 13.4%. As the fourth biggest market for Mini, sales grow stable.
¡°At present, Mini sales in China grows slowly, it is partly because of price. Exported price has not stopped certain customers. As long as it China made, it will open a market for price sensitive customer and increase Mini sales dramatically. Part of Mini shall cut 40% price after China made.¡±
For Mini at present, before China made, new car introducing synchronously, and distribution network build may be the better choose.