BMW plans to begin production of its Neue Klasse electric vehicle family in the United States by the end of 2026. According to BMW board member for purchasing Nikolai Martin, there is no expected battery cell shortage for the Spartanburg, South Carolina plant. This detail matters because it highlights BMW's confidence in its supply chain despite recent challenges.

A key supplier, Automotive Energy Supply Corporation (AESC), announced a temporary halt to construction of its South Carolina battery factory in June 2025. This could have disrupted BMW's timeline, as the facility was meant to supply lithium-ion cells specifically designed for the sixth-generation BMW eDrive technology. These cells were intended for X-models to be produced in Spartanburg.

AESC cited uncertainty in the U.S. market due to President Donald Trump's tariff policies and the cancellation of electric vehicle subsidies as reasons for the pause, which increased instability.

To avoid schedule delays, AESC will supply BMW with battery cells from its global network during a transition period. This move allows pre-series battery assembly to proceed as planned, with BMW targeting the start of series production for late 2026. Meanwhile, the BMW plant in Woodruff is set to begin high-voltage battery assembly in 2026.

Which model will be first off the Spartanburg production line remains undisclosed. Reports suggest it could be the new BMW X5, expected to debut this summer. The model is anticipated to offer five powertrain options, including a fully electric version and the hydrogen-powered iX5 Hydrogen.