BMW is to invest 15 million euros expanding its Thai assembly plant to make the latest 7-series.

Discover B2B Marketing That Performs

Combine business intelligence and editorial excellence to reach engaged professionals across 36 leading media platforms.

Find out more

The plant in the Rayong province, also home to a GM facility that builds Chevrolet, Holden, Subaru and Alfa Romeo-badged models, currently assembles some 3-series models using a mix of CKD kits shipped in from Germany and locally-sourced componentry.

Expansion plans will increase current capacity to about 6,000 units a year, with that volume tentatively planned to be reached in 2005.

The plant could, however, eventually churn out 10,000 units annually but just-auto understands that the paint shop would have to be expanded to cope with that volume.

Thailand’s Auto Alliance Mazda/Ford pickup plant, a Mitsubishi pickup plant and the GM Rayong plant all export most of their output and the BMW plant will also now export a proportion of its cars: the new 7-series will, from 2003, be shipped initially to Indonesia.

The Rayong plant will also be BMW’s first outside Germany to build the 7; at one time the Munich car maker’s South African plant was often first to put a new model into overseas production.

That plant, in Rosslyn, now concentrates on 3-series export models.