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BMW confirms new Mexican plant

After over a year of speculation, BMW is finally officially announcing that it's building a factory in Mexico. The new plant will cost the German automaker roughly $1 billion US and will have a capacity of about 150,000 vehicles a year when complete. However, production won't begin there until 2019.
The new factory is being built near the city of San Luis Potosí, Mexico, with plans to employ about 1,500 people. Unfortunately, BMW is still mum about which models it's producing south of the border. Earlier rumors indicated the possibility of the 3 Series, 1 Series and maybe even Mini models there.
BMW says Mexico's multiple free trade agreements are a major factor in the choice of location of the plant. They make it possible for the automaker to ship models more cheaply to North America, parts of South America and the European Union. "The Americas are among the most important growth markets for the BMW Group. We are continuing our strategy of 'production follows the market,'" said Harald Krueger, the board's head of production, in the company's official announcement.

2014 BMW M235i

We know a number of BMW owners who reside in the Munich brand's core demographic - upper-five- and six-figure professionals who like to keep their automotive brand credentials as highly respected among their peers as their alma maters or the letters after their names. Before heading to Las Vegas to drive the new M235i, we asked four of those owners, "What did you think of the E30 3 Series?" Although phrased differently, every one of them had the same answer: "What's that?"
You can counter that we just happened to query a tiny and ignorant sample size, and it's possible that you're right. Nevertheless, in every case,we were speaking to BMW's core demographic, the increasing legion of buyers who have fostered another year of record growth and are responsible for BMW retaining its global luxury title for nine straight years. Question that, and we'll refer you to BMW's marketing department, its several hundred PowerPoint slides and several thousand pages of research that prove the point.
That second-generation E30 3 Series built a name, a brand and an entire segment by defining BMW-ness as superlative driving dynamics meets luxury - shortened to the phrase, "The Ultimate Driving Machine." Thirty years later, just being a part of BMW-ness and luxury is enough for the majority of buyers. The superlative handling, that's optional, and 150 hairy guys meet every Tuesday to keep the old religion going, light torches, sing dirges to the siren long gone and bang on their keyboards about the apostasies of modern buyers.

BMW 1 Series with B38 three-cylinder engine

Downsizing For BMW's Front-Wheel-Drive And i Futures
Output is quoted at 175 horsepower and BMW says it will hit 62 mph in 7.0 seconds.
The red five-door BMW 1 Series seen in this photo gallery has little to do with what is actually of importance here. What we've just tested at an airfield not far from Munich, Germany, is a new 1.5-liter TwinPower Turbo inline three-cylinder gas engine that we'll be hearing an awful lot about in the coming few years.