In the latest announcement from an automaker to expand electric vehicle manufacturing in the US, BMW released Wednesday it will invest $1.7 billion in its US EV operations to boost output.
After setting a new US delivery record in the third quarter with 4,337 EVs delivered, BMW plans to accelerate the pace even further.
The US just hit 6% EV market share in the third quarter as it progresses towards its goal of 50% by 2030. With new federal incentives and a shifting consumer preference for EVs, demand is only expected to pick up from here.
Meanwhile, after retiring the company’s first “i-series” electric vehicle, the BMW i3, earlier this year, the German luxury automaker is setting its sights on higher market segments with EVs such as the BMW iX sport activity vehicle. Furthermore, the BMW i7 arriving at US dealerships later this year, is the company’s first full electric 7-series model – its largest yet.
Like several other automakers, BMW plans to take advantage of the swelling EV market by introducing fully electric models in all segments, launching at least six pure EV models by 2030.
BMW’s latest announcement to invest in US EV manufacturing comes after the Inflation Reduction Act, passed in August, provides incentives for building on US soil.
BMW iX Source: BMW
BMW invests $1.7 billion to boost EV manufacturing in the US
To increase production and meet the overwhelming demand for EVs in the US, BMW will invest $1.7 billion total in its US business.
As part of the investment, $1 billion will go toward expanding its South Carolina Plant Spartanburg facility, where 11 BMW models are currently produced. BMW’s CEO, Oliver Zipse, talks about how the facility will play a major role in its EV plans as we advance, stating:
For decades, Plant Spartanburg has been a cornerstone of the global success of the BMW Group. The home of the BMW X models that are so popular all over the world. 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. That means: The ‘Home of the X’ is also becoming the ‘Home of the Battery Electric Vehicle
Meanwhile, the other $700 million is designated for building a new high-voltage battery assembly facility in Woodruff, NC. The new battery plant will be over 1 million square feet, creating around 300 new jobs producing “next generation batteries” for future BMW EV models.
BMW says it aims to purchase battery cells where production takes place, partnering with Envision AESC to build a new battery cell factory with an annual capacity of 30 GWh.
The automaker claims its new battery cell design will increase energy density by over 20% while improving charging speed and range by up to 30%. Furthermore, with renewable energy and mineral recycling techniques, Carbon emissions will be reduced by up to 60%.
According to BMW, its US operations support over 120,000 US jobs while contributing $43.3 billion to the economy.
Electrek’s Take
Smart move by BMW, seeing as several luxury automakers, new and legacy, are targeting the US luxury market. In the third quarter, luxury vehicles controlled 17.8% of the market compared to just over 14% in Q3 2019.
More importantly, the new EV tax credit is driving massive investments in US manufacturing. BMW is the latest automaker to announce a significant investment to scale its manufacturing footprint in North America. Still, several others, including Hyundai, Volkswagen, Mercedes-Benz, and more, have already announced their intentions.
This year alone, companies have announced over $13 billion in EV manufacturing in the US. As new incentives roll out and EV production picks up, this looks to be a new trend.
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This week on Electrek’s Wheel-E podcast, we discuss the most popular news stories from the world of electric bikes and other nontraditional electric vehicles. This time, that includes a new ONYX RCR 80V electric moped, new lightweight e-bike motors, Aventon’s powerful update, California cops catching illegal e-bike riders with drones, a super lightweight new e-bike from Dahon, and more.
Today’s episode is sponsored by CYCROWN, an e-Bike company born from a passion for cycling. Its lineup now includes the new CYCROWN Dremax – a high-performance urban commuter e-bike now on sale in the US and Canada. Use Electrek50 to save $50 off your new eBike when you order.
The Wheel-E podcast returns every two weeks on Electrek’s YouTube channel, Facebook, Linkedin, and Twitter.
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While much of the Western world is still figuring out how to get more people on electric bikes, China just flipped a switch, and the results are staggering. Thanks to a generous nationwide trade-in program rolled out around six months ago, China has seen an explosive surge in electric bicycle sales, with over 8.47 million new e-bikes hitting the road in the first half of 2025 alone.
The program, which offers subsidies to riders who trade in their old, often outdated electric bikes for newer, safer, and more efficient models, has sparked a new e-bike sale boom in a country already dominated by e-bike travel. In major provinces like Jiangsu, Hebei, and Zhejiang, over one million new e-bikes were sold in each region in just six months. That’s a tidal wave of e-bike sales.
The incentives vary depending on location and the model being traded in, but for many consumers, the subsidies cover a substantial portion of a new e-bike’s price – enough to turn a “maybe next year” purchase into a “right now” upgrade. And these aren’t just budget bikes either. The program has driven demand for higher-quality models with better batteries, safer braking systems, and more reliable electronics, accelerating both adoption and innovation across the industry.
The move has proven successful in replacing the millions of older models with lower-quality lithium-ion batteries that had posed safety risks around the country. Instead, China has pushed for higher-quality lithium-ion batteries, a return to a newer generation of higher-performance AGM batteries, and even interesting new sodium-ion battery options.
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Most e-bikes in China look more like what we’d consider seated scooters
According to China’s Ministry of Commerce, more than 8.4 million consumers have participated in the e-bike trade-in program so far, contributing to a sales increase of 643.5% year-over-year and more than doubling sales month-over-month. Meanwhile, production of new electric bicycles rose by nearly 28%, as manufacturers scrambled to meet demand. The sales boosts have already been seen in the financial reports of major industry players like NIU.
And it’s not just the big players benefiting – over 82,000 small independent e-bike dealers reported average sales increases of ¥302,000 (around US $42,000), giving a serious boost to local economies.
What’s particularly striking here is how fast this happened. The program was officially launched late last year as part of a broader effort to stimulate domestic consumption and phase out outdated vehicles and appliances. But while most analysts expected gradual growth, the e-bike sector responded much more quickly. In less than a year, the trade-in subsidies have reshaped the electric bicycle market, creating a consumer-driven boom that shows no signs of slowing.
For those of us watching from outside China, it’s hard not to wonder what might happen if other countries tried something similar. While most families in Chinese cities already own an electric bike and thus see this as an opportunity to trade it in for a newer model, Western countries like the US are still figuring out how to stimulate commuters into buying their first e-bike.
It’s too soon to know exactly how long the boom will last or whether the momentum will carry into 2026 and beyond. We’ve seen bicycle industry bubbles grow and burst before. But one thing’s clear: with the right incentives, even modest ones, it’s possible to ignite real, large-scale change. China just proved it with nearly 8.5 million new e-bikes to show for it.
And if you’re wondering what it looks like when a country takes electric micromobility seriously, this is it.
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Today was the official start of racing at the Electrek Formula Sun Grand Prix 2025! There was a tremendous energy (and heat) on the ground at NCM Motorsports Park as nearly a dozen teams took to the track. Currently, as of writing, Stanford is ranked #1 in the SOV (Single-Occupant Vehicle) class with 68 registered laps. However, the fastest lap so far belongs to UC Berkeley, which clocked a 4:45 on the 3.15-mile track. That’s an average speed of just under 40 mph on nothing but solar energy. Not bad!
In the MOV (Multi-Occupant Vehicle) class, Polytechnique Montréal is narrowly ahead of Appalachian State by just 4 laps. At last year’s formula sun race, Polytechnique Montréal took first place overall in this class, and the team hopes to repeat that success. It’s still too early for prediction though, and anything can happen between now and the final day of racing on Saturday.
Congrats to the teams that made it on track today. We look forward to seeing even more out there tomorrow. In the meantime, here are some shots from today via the event’s wonderful photographer Cora Kennedy.
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