BMW has announced the setting up of BMW Parts Manufacturing Thailand, a local manufacturing plant for BMW Motorrad parts in Rayong and the fourth company under BMW Group Thailand.
From 2023 onwards, BMW Parts Manufacturing Thailand will be supplying components for the assembly of BMW Motorrad vehicles at BMW Group Manufacturing Thailand’s Plant Rayong, according to a press release from BMW Group Thailand
Erik Ruge, managing director of BMW Group Manufacturing Thailand, said, “BMW Parts Manufacturing Thailand is the latest expansion and an important footprint for BMW Group Thailand. As Thailand is a strategic location, BMW Parts Manufacturing plant will supply BMW Motorrad parts for our production plant in Rayong. In addition to that, the Thai government’s economic assistance such as free zone privilege as well as the ongoing BOI support also led to this decision to further this major investment. The newly established BMW Parts Manufacturing Thailand will also foster economic development and human capital improvement in the country, especially in the area of employment, knowledge transfer, and skills training.”
Backed by an investment of Bt2.35 billion, BMW Parts Manufacturing Thailand will add to the strengths of the German brand in the country, while driving forward the industrial economy and underlining BMW Group’s commitment to Thailand as a key strategic market.
BMW Parts Manufacturing Thailand was registered as a new legal entity in May 2021 with a registered capital of Bt560 million. The construction of the parts manufacturing plant will commence in September 2021 and will be completed within September 2022, while production is expected to kick-off in August 2023.
The new 11,000-sqm facility will be located within the same vicinity of the BMW Group Manufacturing Plant Thailand in Rayong. This will allow both companies to optimize operational efficiency and streamline logistic processes. The parts manufacturing plant is also expected to create over 200 total workforce employment, with a production capacity of approximately 50,000 components/parts per year.