"Every time I come to this great country, I feel like I'm coming home because it's full of energy and countless family-like partners. We believe that China's movements will lead the direction of the world. ”
On December 16, at the 2022 "New Year's Online Annual Meeting" held by BMW, Dr. Peter, Global Finance Director of the BMW Group Nicolas Peter describes China, the BMW Group's largest single market.
To date, the BMW Group has served more than 6 million car owners and more than 25,000 employees in China, operates a large dealer network with around 600 stores, and has built a large and growing network of local suppliers. As of the third quarter of 2021, the BMW Group's sales in the Chinese market exceeded one-third of the total global sales.
The theme of BMW's annual meeting is "Home in China", and Dr. Peter used the old saying "It is difficult for those who lift alone to rise, it is easy for all walkers to tend", saying that cooperation is the key to moving towards a common goal, and BMW will firmly walk with China.
Since 2010, as its largest production base, the BMW Group has invested more than 73 billion yuan in the Shenyang production base and has set up innovative R&D bases in Four cities in China, Beijing, Shanghai, Shenyang and Nanjing, forming the largest R&D network outside Germany.
In 2022, the BMW Group will continue to focus on the needs of Chinese customers, continue to focus on new products, brand experience and customer satisfaction, and plans to launch 26 new products covering BMW main brands, BMW i and BMW M, MINI and motorcycle segments. It is worth mentioning that the BMW Group will usher in three new or upgraded plants in Shenyang and Zhangjiagang, and put into operation the second BMW pure electric vehicle in Shenyang, the Pure Electric 3 Series, further enhancing China's status as one of the bmw group's three major new energy vehicle production bases in the world.
In addition, in order to better meet the market demand, the BMW Group plans to relocate the X5 production line from the United States to China. It is reported that in addition to the individual remodeled models and the two luxury models of the 7 Series, BMW will soon produce all important model series in China. "Production follows demand." A BMW spokesperson said that producing cars in China can more precisely adapt the models to the needs of Chinese consumers.
"China first" to accelerate the promotion of electrification
BMW describes its China strategy upgrade as "Home in China": aligning its corporate strategy with China's development goals, adhering to the "China First" principle, and prioritizing the needs of the Chinese market in new product development.
Jochen Goller, President and CEO of the BMW Group greater China, further elaborated on BMW's "2025 China Strategy" for a comprehensive upgrade in China with the numbers 1 to 5 and three other numbers, "2025", "2025" and "1.5".
Among them, "1" represents the importance of the Chinese market to BMW (China First); "2" indicates that Shenyang and Zhangjiagang two production bases, Shenyang factory is the main production force, but also the basis of BMW's success in China, Zhangjiagang factory beam project has been on the right track, plant construction, product research and development and other work is also on schedule; "3" indicates that bmw will strengthen its partnership with Chinese high-tech enterprises in the future, and firmly transform in the three directions of electrification, digitalization and sustainability; "4" refers to Beijing Four R&D and digitalization bases in Shanghai, Shenyang and Nanjing, each with a focus; "5" reveals five BMW pure electric models that BMW will present to Chinese customers in 2022, including BMW iX3, BMW iX, BMW i4, the first all-electric flagship sedan BMW i7, and the pure electric BMW 3 Series produced in Shenyang.
In 2021, the BMW iX3 is expected to sell up to 20,000 units in its first full year of sales. BMW will continue to accelerate the pace of electrification in China. By the end of 2023, the BMW Group will offer around 13 pure electric products in the Chinese market.
"2025" represents BMW's upcoming "new generation" model in 2025, with a completely redesigned IT and software architecture, a new generation of high-performance electric drive systems and batteries, and a new sustainable concept throughout the entire vehicle lifecycle. In the development of the "new generation", the specific needs of the Chinese market will still be placed in the first place. By 2025, a quarter of the BMW Group's sales in the Chinese market will be pure electric vehicles.
In addition, "200 million" and "1.5" represent the BMW Group's carbon reduction target of 200 million tons by 2030 and its commitment to the 1.5-degree temperature control target of the Paris Agreement.
Implement sustainability
"Can you hear this tune?" This is a fusion of Beethoven's Fifth Symphony and guzheng. At the bmw group's online annual meeting, Dr. Wei Lande, president and CEO of BMW Brilliance Automotive Co., Ltd. Johann Wieland) opens with a look at the complementarity and harmony of Chinese and German cultures, detailing the specific information of the Shenyang site, BMW Brilliance's achievements in sustainable development and the social welfare projects implemented in China.
It is reported that the Shenyang base is one of BMW's largest factories in the world, with more than 21,000 employees and a weekly production capacity of about 13,000 vehicles. In 2020, BMW Brilliance's total purchases were 55 billion yuan, of which 60% was in Shenyang. In the past 15 years, BMW Brilliance has also been the largest taxpayer in Shenyang, with a total tax payment of 38 billion yuan last year alone, and has become a leading local enterprise. In 2022, BMW Brilliance will expand its Dadong plant and build an advanced plant in Tiexi.
In addition, bmw Brilliance was awarded the "2020 Corporate Best Practice Award for Achieving the Sustainable Development Goals" by the United Nations Global Compact China Network for its outstanding achievements in sustainable management of the supply chain, making it the only automotive company among the 20 awardees.
On the production side, BMW Brilliance has released its Sustainability Report for eight consecutive years since 2014, disclosing its sustainability footprint to the public. In 2021, BMW Brilliance once again ranked first in the "Green Development Index of Automobile Enterprises" and won the honor of "National Green Demonstration Factory" for the fourth consecutive year.
Wei Lander also expressed a strong interest in Chinese culture, saying that BMW has also upgraded its corporate social responsibility strategy in China, which includes three pillar directions of cultural protection, social development and environmental protection.
At present, the "BMW Children's Delight Home" project has been carried out for 10 years, and the "BMW Chinese Culture Tour" project has gone through 15 years. Now, BMW has launched the "BMW Beautiful Home Action". The first phase of the project will take the lead in establishing a public education base for biodiversity conservation in the Liaohekou National Nature Reserve in Liaoning Province, and donate relevant equipment such as monitoring and bird rescue to the protected area to directly help local biodiversity conservation.
BMW headquarters reorganizes customers, brands and sales departments
In addition to upgrading its development strategy in China, the BMW Group has also reorganized its customers, brands and sales departments. The entire restructuring plan was guided by Pieter Nota, a member of BMW's board of directors and sales director, as "the company will consider more weights in the major regions of Europe, Asia and the Americas in the future."
On December 14, BMW issued an official announcement to carry out a series of "domino-style" job adjustments for a series of managers.
It is reported that the sales areas in Germany and Europe will be merged on April 1, 2022 under the guidance of Bernhard Kuhnt, the current head of the German market of the BMW Group. Stefan Teuchert, Head of Sales for the German Market, will succeed Kuhnt in charge of the German market.
Jean-Philippe Parain, current Head of Sales Europe, will take over from the retiring Hendrik von Kuenheim in charge of sales in Asia Pacific, Eastern Europe, the Middle East and Africa, and Peter Henrich, current head of product management and affiliates, will be responsible for the key business of digitizing sales processes in the European region from February 1, 2022, and his original position will be replaced by Bernd Koerber, Brand Head of MINI. Stefanie Wurst, then head of sales for bmw group in the Netherlands, will take over the Mini brand.
At the same time, the financial department of the BMW Group has also made corresponding changes.
Dr. Thomas Wittig, head of the BMW Group's Financial Services Department, will retire on April 1, 2022, and his position will be taken over by Gerald Holzmann, who is currently the Treasurer of the Financial Services Division.
On the same day, Birgit Boehm-Wannenwetsch, head of the Group's finance department, will take over as head of the Americas region of the BMW Group's Financial Services Division, replaced by Ritu Chandy, who is currently head of financial services for Asia Pacific.