BMW is investing $1.7 billion in the U.S. to build electric vehicles and batteries, the company announced Wednesday.
The investment will include $1 billion to prepare for production of EVs at the car maker Spartanburg factory in South Carolina, and $700 million for a new battery-assembly facility in the state. Both projects are expected to create over 300 jobs.
BMW said it expects to produce at least six fully electric models in the U.S. by 2030. The Spartanburg facility currently produces BMW X SUVs and lithium-ion battery modules for its two hybrid vehicles.
″Going forward, it will also be a major driver for our electrification strategy, and we will produce at least six fully electric BMW X models here by 2030,” BMW Chair Oliver Zipse said in a release.
According to the company, production of the new hybrid-electric BMW XM is expected to begin later this year.
The German car maker also announced a deal to purchase battery cells from Envision AESC, which will build a new battery cell factory in South Carolina to supply BMW.
BMW’s South Carolina plant has built more than 6 million vehicles and has an annual production capacity of up to 450,000 vehicles.
This was the latest announcement from a major automaker about plans to ramp up U.S. EV production amid tightening emissions regulations and legislation to encourage domestic manufacturing.