BMW Group partners with THACO to start local production in Chu Lai, Quang Nam Province, Vietnam.

+++ Strategy: production follows market +++ Vietnam important growth
market for BMW Group Asia +++ Local production of BMW 3 and 5 Series
as well as BMW X3 and X5 +++

Chu Lai / Vietnam. BMW Group is excited to partner
with Truong Hai Auto Corporation (THACO) to locally produce BMW
Vehicles in Vietnam. The co-operation will extend the BMW Group’s
production network for vehicles in Asia, which now includes BMW Group
Plants in India and Thailand, Joint Venture plants in China, and
Partner Plants in Malaysia, Indonesia and now Vietnam.

“This is a major milestone for the BMW Group in Asia Pacific as we
look to strengthen our geographic footprint in the region,” said
Michael Nikolaides, Senior Vice President BMW Group Production
Network, Supply Chain Management. “With this decision, the BMW Group
once again is applying its strategic principle of production follows
the market”. The BMW Group strives for balanced growth in all markets
and continents. Fast-growing emerging economies play a central role here.

“It has been nearly five years since we relaunched the BMW brand in
Vietnam and brought THACO on board as the official importer of BMW
vehicles in the market. We have cultivated a strong relationship with
the THACO team during this time, and their experience and commitment
to growing the brand is evident,” said Lars Nielsen, Managing
Director, BMW Group Asia.

“There is long-term growth potential in the Vietnam market, and we
are excited to take this next step with THACO to locally produce some
of our most popular models – including the BMW 3 Series, BMW 5 Series,
BMW X3 and BMW X5. We are also eager to bring our customers in Vietnam
the very best of BMW, proudly produced in the heart of the country.”

“THACO has more than 20 years of experience in the automotive
industry, manufacturing and trading everything from passenger cars to
trucks for THACO and a variety of global brands,” said Mr. Trần Bá
Dương, Chairman, THACO. “We are excited and honored to have the
opportunity to now include BMW vehicles as part of our manufacturing
business in Chu Lai, Quang Nam Province and are committed to providing
high-quality vehicles that BMW customers expect from the brand.”

The BMW Group’s production network totals over 30 locations all over
the world. These comprise of BMW Group plants as well as vehicle
plants and a powertrain plant of our joint venture BMW Brilliance
Automotive in China. There are also partner plants and contract
manufacturing. Standardised processes and structures across the
production system ensure consistent premium quality and allow a high
degree of customization of BMW Group products. The same quality,
safety and sustainability standards apply for all plants throughout
the BMW Group production network worldwide. Sustainability is one of
the key aspects in BMW Group production.

BMW Group Asia started operations in 1985 and is the regional office
in Singapore overseeing 14 markets across East Asia for both BMW and
MINI brands. Markets include Singapore, Vietnam, Philippines,
Indonesia, Brunei, Bangladesh, Sri Lanka, Nepal, Tahiti, Guam, New
Caledonia, Laos, Cambodia and Myanmar. It plays the role of a business
incubator for the importer markets and introduces product and
technology that best caters to customers’ needs in this part of the world.