BimmerFile » Archive » BMW to Temporarily Close Leipzig

BMW to Temporarily Close Leipzig

Sections: E81/82/E87 1 Series, E90 3 Series, In the Press Oct 8th, 2008 4 Comments

Due to the current world-wide financial situation BMW will stop production at the Leipzig plant for a week later this month. The decrease in demand and overall global market conditions have made this decision necessary. The closure will occur during week 44, the last week of this month, and will cause a disruption in the production of about 2800 cars. Leipzig produces both 1 and 3 Series variants. The monthly closures will continue until further notice.

On one hand it is a bit disheartening to see how bad the current economic situation has become for this to become necessary. On the other it is good to see that BMW is trying to match supply to demand in order to preserve the residuals of previously sold cars (as much as possible). They are accomplishing this by not offering a lot of incentives to move stagnant inventory. If this will actually work is still up for debate, but at least they are trying to do something. This is far better than just staying the course like many of the other brands did for so long.

Written By: Michael

4 Comments

Doug Oct 9th, 2008 Link

I am torn about this news. On the one hand, BMW stands for the freedom of enthusiast driving, which I am very much for.

On the other hand, BMW is starting to stand for luxurious living, which I am apathetic about.

Seeing BMW reduce production is sad for the enthusiast mindset, but those who see conspicuous consumption as a side-effect of too much materialism might see this slow-down as a reality check.

I believe BMW can survive and thrive without being a luxury car. When the good times return, I hope they can focus more on the lifestyle of performance than luxury. Performance doesn’t mean no leather seats or a harsh ride, it just means experience over indulgence.

Michael Oct 9th, 2008 Link

Doug,

Very well put and though out comment, I could not agree more!

Ben Oct 9th, 2008 Link

Ditto Doug.

BimmerFile » Archive » Exclusive: BMWNA Re-thinking Sales Plan Oct 9th, 2008 Link

[...] we reported yesterday, BMW will be cutting overall production at the Leipzig plant. This was not part of the original plan of just moving allocations, by eliminating cars this [...]

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