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BMW halts production at largest plant, affecting 12,000 workers

Yannik Reich by Yannik Reich
September 23, 2024
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BMW is halting production at its largest European factory in Dingolfing for 2.5 days. What is the reason for this interruption?

Dingolfing – The recall and delivery stop of 1.5 million BMW vehicles continues to have repercussions for the Bavarian automaker. Production at its largest factory in Dingolfing has come to a halt. According to a report from Bayerischer Rundfunk (BR), no cars will roll off the production line for a total of 2.5 working days. Initially, the production volume at the Dingolfing site was supposed to be flexibly adjusted to the current situation.

BMW halts production at largest European plant: Braking system issues

However, the automaker plans a swift restart. “The BMW Group Dingolfing plant will resume vehicle production tomorrow, September 17, at the start of the morning shift and will produce as planned,” a spokesperson told IPPEN.MEDIA. The halt began on Thursday, September 12. “The plant had adjusted its production volume to the current situation and reduced individual shifts due to lower demand in China and delivery stops,” the spokesperson explained.

The prerequisite for the restart is that the problems with the braking system that led to the recall and delivery stop must be resolved by then. According to BR, over 300,000 vehicles produced cannot be delivered due to the faulty braking system.

BMW halts production at largest plant, affecting 12,000 workers
Due to issues with the integrated braking system, no new vehicle is currently rolling off the production line at BMW’s Dingolfing plant. (Archive photo) © BMW/dpa

The integrated braking system is sourced from Continental, according to Automobilwoche. The system combines several components that are installed separately into one module. The supplier states that only a small portion of the brakes need to be replaced, but all must be inspected.

In the affected vehicles, it is very rare for braking assistance systems such as ABS and dynamic stability control to fail, a BMW spokesperson told BR. The braking performance should remain sufficiently strong and exceed legal requirements. However, the brake pedal would need to be pressed harder. BMW is not aware of any accidents caused by the brake issue.

12,000 employees at BMW’s Dingolfing plant affected by production halt

According to BR, 12,000 employees at the BMW plant in Dingolfing are affected by the production halt. The downtime will be managed through working time accounts and flexible working time arrangements. The spokesperson indicated that the company is capable of managing such short-term production adjustments, and the cooperation with the works council at the plant is effective.

Last Tuesday, September 10, it was announced that BMW must recall 1.5 million vehicles. 1.2 million of these cars have already been delivered to customers. The faulty braking systems are expected to incur “additional warranty costs in the high three-digit million range.” As a consequence, the automaker has downgraded its profit forecast for the fiscal year. Another reason for the downgrade is reportedly the lower demand in China.

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