Apr 11, 2025, 12:00 AM
Apr 11, 2025, 12:00 AM

BMW faces backlash as White House calls factory a scam

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Highlights
  • The South Carolina factory contributes significantly to the U.S. economy, exporting more than $10 billion in vehicles annually.
  • Local officials defend BMW against claims of economic harm, citing its positive impact on employment and investment in the region.
  • BMW's long-term presence has transformed the local economy, establishing it as a critical player in advanced manufacturing.
Story

In recent months, South Carolina has experienced tension between state officials and the White House regarding the German automaker BMW. After accusations from White House trade advisor Peter Navarro, who labeled BMW's factory in Spartanburg a "scam" detrimental to the U.S. economy, South Carolina officials swiftly defended the company. They highlighted the factory's significant role in local and national economy, noting it exported over $10 billion worth of SUVs in the last year alone. With a massive footprint of 8 million square feet, the Spartanburg plant is instrumental in creating jobs, employing about 11,000 workers, and supporting numerous local suppliers. The criticism from Navarro, who suggested that BMW's reliance on international parts undermines U.S. national security, sparked a strong response from BMW. The company reaffirmed its commitment to the region, detailing investments totaling $14.8 billion since the factory’s inception, which have positioned it as the largest BMW production plant globally. This facility not only exports a vast amount of vehicles but has also fostered a strong supply chain network within the U.S., sourcing from 300 suppliers, including local Tier 1 suppliers. Officials from Spartanburg and Greenville counties, both of which supported Donald Trump in the 2024 elections, have praised BMW as a crucial contributor to the state's economic revitalization. They credited the company's presence with transforming a previously declining textile industry into a thriving hub for advanced manufacturing. Besides BMW, the region has attracted other major corporations like Michelin and Mercedes-Benz, further enriching the local economy and enhancing job creation. The negative narrative from the White House concerning BMW’s operations contrasts sharply with the sentiment shared by local businesses and government officials. They argue that BMW’s investment has driven economic growth and improved quality of life in the area. As South Carolina Manufacturers Alliance President Sara Hazzard pointed out, the jobs generated by the automotive industry have been vital for many families in the state, highlighting the economic development momentum that has made the region competitive and attractive to prospective investors.

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