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Since China became the world's largest car market, more and more multinational car companies have been increasing their layout in China, especially introducing plans for new models. The layout of China has been accelerated since BMW acquired 25 per cent of BMW brilliance and increased its shareholding to 75 per cent to become the largest shareholder.

A few days ago, some media reported that brilliance BMW is renovating and expanding the south workshop of Dadong body, which will be used in the production line of the rear body and upper and lower rear door assembly of a new BMW model. At present, BMW adopts the design of only X5, X7 and other models. And last year, brilliance China announced the sale of a 25 per cent stake in BMW to BMW, with new investment information, "expected to localize and start production of BMW X5 and BEV cars in 2022." So it can be seen that the transformation and expansion of the Dadong plant is basically a preparation for the domestic X5.

At the same time, according to the latest BMW exposure, in order to cooperate with the localization of BMW iX3, X5 and other models. The domestic brilliance BMW has successively carried out the technical transformation of the Dadong and Tiexi factories. By 2022, X3 and iX3 will be moved from the Dadong factory to the Tiexi new plant to be put into production.

Although there are many domestic models in BMW brilliance, including 1-series, 2-series station wagons, 3-series, 5-series / 5-series new energy, X1/X1 new energy, X2, and the new BMW X3 model. According to the plan for the second half of the year, brilliance BMW will also introduce 3 series long wheelbase pure electric, 5 series long wheelbase pure electric, iX3, iX5 four pure electric vehicles.

Although the BMW X5 is still sold as imported models, the BMW X5 won the top spot in the mid-2019 SUV market with cumulative sales of 38700 vehicles, followed by the Porsche Cayenne and Mercedes-Benz GLE with 33100 and 27800 respectively, while the Volvo XC90 and Audi Q7 are both the best-selling models in the segment.

Although the current sales volume of the BMW X5 is not much for BMW, with the gradual transformation of the Chinese market from the incremental era to the stock era, and the performance of the luxury brand market that has continued to rise in the past two years, in order to achieve better sales performance, the realization of domestic production is undoubtedly one of the dominant measures.

After all, after the realization of domestic production, the models will be directly exempted from the current import duty fees, and the guidance price of the whole vehicle will be explored at the same time. After all, most of BMW's SUV models, with the exception of the X1, are made at the Spartanburg plant in the US, and tariffs on imported cars originating in the US will be raised to 65 per cent as the trade war between China and the US continues. In the outside world, this may also be another important reason for the localization of the BMW X5.

Therefore, with the realization of domestic BMW X5, the cost-effective advantage will be further revealed. For example, after the localization of the new X3 under the BMW brand, the annual sales of the BMW X3 reached 122158 in 2019, an increase of 314.7% over 2018.

In fact, the localization of large SUV models in the accelerated layout is not the BMW brand. A few days ago, the Lincoln brand has taken the lead in listing the first domestic medium-and large-scale luxury brand fliers, which is nearly 100,000 cheaper than imported models. In addition to the Lincoln brand, the Volvo brand has also been exposed that its flagship SUV model, XC90, will be made domestically, and the news that SAIC Audi will make a domestic Audi Q8 means that many luxury brands will compete fiercely in China through domestic models in the future.

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