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The same frequency and common progress, mutual benefit and win-win BMW Group upgraded its China strategy

In 2021, the automotive industry has been given a new historical mission, and the development of the new energy vehicle industry chain has become a key link. With the proposal of China's "double carbon strategy" goal, accelerating carbon reduction and decarbonization has become the consensus of the industry.

With the in-depth promotion of the fourth industrial revolution characterized by intelligence, the intelligent networking of automobiles has entered the stage of comprehensive application from the concept, and the intelligent network technology is developing in both directions to the user side and the production end, and the global automobile industry is ushering in new opportunities for deep change.

At the same time, this year is also the 20th anniversary of China's "WTO accession." This year's government work report clearly pointed out that "the implementation of a high level of opening up, to promote the stability and quality of foreign trade and foreign investment"; the draft outline of the "14th Five-Year Plan" also proposed, "adhere to the implementation of a wider range, a wider range of fields, a deeper level of opening up, promote international cooperation, to achieve mutual benefit and win-win results." ”

All along, thanks to the policy drive, a large number of multinational enterprises have been able to take root and grow in the fertile soil of China. Now, in the context of the new era, multinational car companies that have been deeply involved in China for many years are also upgrading their strategies to maintain the same frequency with China, in order to achieve sustained mutual benefit and win-win results with China and compose a new era variation. The BMW Group from Germany is one of them.

The same frequency and common progress, mutual benefit and win-win BMW Group upgraded its China strategy

Recently, BMW has once again upgraded its China strategy, aligning its corporate strategy with China's development goals, adhering to the principle of "China first", giving priority to the needs of the Chinese market in new product development, accelerating electrification, digitalization and sustainable development, and maintaining the same frequency with China.

Dr Peter, BMW Group's Director of Global Finance, said: "Every time I come to this great country, I feel like I'm coming home. We believe that China's movements will lead the direction of the world. Here is the ideal environment and excellent partner to promote the transformation, and the BMW Group will firmly go with its Chinese counterparts. ”

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Committed to mutual benefit and win-win results

Promote the upgrading of the local automobile industry

Looking back at the more than 20 years since BMW entered China, it is at a stage of rapid economic development in China under the reform and opening up. BMW Brilliance is a joint venture established after China's accession to the WTO, coinciding with the spurt growth of China's auto market.

Riding on the east wind of policy, BMW quickly rolled out the situation in China. At present, China has become the largest market for BMW in the world, and has also become a powerful source of power for BMW's rapid sales growth and product transformation and upgrading.

According to the data, in the first nine months of this year, BMW delivered a total of 669,637 BMW and MINI vehicles to Chinese customers, an increase of 19.6% year-on-year, accounting for more than one-third of BMW's global sales. This also means that one out of every three cars bmw is delivered to Chinese customers.

The same frequency and common progress, mutual benefit and win-win BMW Group upgraded its China strategy

Fall to the tree, drink its flow and cherish its source. Benefiting from China's BMW has also brought mutual benefit and win-win results, not only practicing the commitment of "in China, for China, for the world", but also contributing to local economic development and the upgrading of the automobile industry, becoming a model for Sino-German cooperation.

To date, BMW has served more than 6 million car owners in China and employs more than 25,000 people. In the production field, since 2010, the total investment of BMW Brilliance's Shenyang production site has exceeded 73 billion yuan, with a production capacity of about 13,000 vehicles per week. As a leading enterprise in Shenyang, BMW Brilliance has become the largest taxpayer in Shenyang for 15 consecutive years, paying 38 billion yuan in taxes in 2020 alone.

At the same time, BMW Brilliance has spawned two major industrial agglomeration platforms in Shenyang, the Sino-German (Shenyang) High-end Equipment Manufacturing Industrial Park and Shenyang Automobile City, playing a leading role in driving related supporting enterprises to settle in Shenyang, making Shenyang an important part of China's manufacturing industry map. According to the data, BMW has about 600 dealers and more than 460 parts suppliers in China. In 2020 alone, BMW Brilliance purchased more than 33 billion yuan from local suppliers in Shenyang, which has strongly driven the development of the local economy.

The same frequency and common progress, mutual benefit and win-win BMW Group upgraded its China strategy

In 2022, BMW will open 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 position as one of BMW's three major new energy vehicle production bases in the world.

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Drive digital innovation

Embrace green and sustainable development

It is worth noting that at present, China has become a pioneer market for digitalization and electrification. Based on this, BMW has also joined the Chinese innovation wave and joined hands with Chinese partners to promote digital innovation.

It is understood that BMW's digital innovation in China covers all related fields such as research and development, production, vehicle intelligence and digital services. BMW has built the largest R&D and digital system outside of Germany in China, with a team of more than 1,650 people, including around 600 software developers.

Among them, the earliest Established Beijing R&D Center is mainly responsible for vehicle engineering, testing and certification; the Shanghai R&D Center focuses on digital products, software development and connections with the local digital ecosystem and innovation circle; and the Shenyang R&D Center focuses on local electric vehicle development and R&D after mass production of domestic models.

The same frequency and common progress, mutual benefit and win-win BMW Group upgraded its China strategy

In terms of digital development, in 2019, BMW established Lingyue Digital in Beijing, focusing on creating a seamless digital journey for customers. At present, the My BMW App, jointly developed by Lingyue and BMW's R&D department, has 3.4 million users, of which more than 1.4 million are monthly active users. In 2021, BMW's innovative layout expanded to Nanjing, and successively established BMW ArcherMind Information Technology Co., Ltd. and Lingyue Nanjing Branch, using China's local software strength to deepen in-vehicle software development, as well as providing agile and efficient IT R&D and technical solution services for the production and service of BMW operating enterprises in China.

In addition, BMW is promoting the BMW Network Initiative to about 600 dealers across the country to optimize the customer's brand experience through hardware and software upgrades and digital transformation, and more than one-third of the dealers have completed this upgrade. As part of the project, BMW will also launch the BMW i brand exclusive experience store with dealers next year, and the first two experience stores will be the first to land in Shenzhen and Beijing, and will be named "BMW i Shenzhen" and "BMW i Beijing".

The same frequency and common progress, mutual benefit and win-win BMW Group upgraded its China strategy

In addition to digital innovation, BMW's sustainable development strategy is also in line with China's "double carbon" goal. BMW firmly supports the 1.5-degree temperature control target set out in the Paris Agreement and proposes to reduce the average life cycle carbon emissions of bicycles by 40% compared with 2019 by 2030, reducing carbon emissions by 200 million tons.

It is worth mentioning that BMW's sustainable development focuses on the entire life cycle of the car, from the supply chain, production, use to recycling. To this end, in June this year, BMW joined hands with suppliers and partners such as CATL, Yanfeng International, Shougang Group, State Grid Electric and Telai to launch the "Industrial Chain Green Transformation Initiative", actively exploring the path of industrial chain emission reduction, supporting the green transformation of various industries, including the automotive industry, and jointly contributing to sustainable development through the exploration of new energy technologies such as green energy, innovative material technology and manufacturing, and green electricity trading. For example, in the collaborative Ningde era, only green energy is used to produce high-voltage power batteries; jointly develop environmentally friendly intelligent steering wheels with Yanfeng International; cooperate with Shougang to form a closed-loop cycle from steel supply to recycling; and explore green energy charging and storage with State Grid Electric.

It is with this strategic guidance that 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 achievements in sustainable supply chain management. 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.

"At BMW Brilliance, we continue to implement our green development strategy. We will not be satisfied with this and will continue to act together with our partners. For us, no responsibility, no luxury. Shenyang is our home, China is our home, and we have a responsibility to make this a more livable place. Dr. Wei Lande, President and CEO of BMW Brilliance, said.

Text/Wang Niannian

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