BMW i3 enters series production in Munich as Neue Klasse moves into its second phase

BMW i3 enters series production at BMW Group Plant Munich

The Neue Klasse is no longer just a product roadmap. BMW has begun series production of the new all-electric i3 at its home plant in Munich, making it the second Neue Klasse model after the iX3 and the first Neue Klasse vehicle to be built in Germany.

The car is important, but the factory transformation behind it may be the bigger story. BMW is converting a plant with more than a century of history, located in the middle of Munich, into a site that will manufacture only battery-electric vehicles from 2027.

This i3 is very different from the old city EV

The revived i3 name no longer belongs to the compact electric hatchback BMW sold from 2013 to 2022. The new model is the first fully electric BMW 3 Series, initially launching as the i3 50 xDrive with an electric motor on each axle.

BMW’s previously announced provisional figures list 345kW, or 469hp, and 645Nm for the dual-motor model. It uses sixth-generation BMW eDrive technology, an 800V electrical architecture, BMW Panoramic iDrive and the Heart of Joy central control system for vehicle dynamics.

BMW has also quoted a provisional WLTP range of up to 900km and DC charging at up to 400kW. Under ideal test conditions, the company says a 10-minute charging stop can add energy equivalent to as much as 400km of WLTP range. BMW’s global media material still labels these figures provisional, and real-world range will vary with weather, speed, air-conditioning use, tyres, load and battery condition.

The harder part was rebuilding Munich without stopping it

New BMW i3 models inside BMW Group Plant Munich

BMW says it is investing around €650 million to transform Plant Munich for the Neue Klasse. The redevelopment includes a new body shop, reworked vehicle assembly and new logistics areas covering roughly one-third of the plant footprint.

What makes the project notable is that the plant continued producing as many as 1,000 vehicles a day during the redevelopment. Instead of shutting the factory and starting again, BMW had to introduce new manufacturing systems alongside existing production.

That is a useful reminder of what electrification means for established automakers. The challenge is not simply designing an EV platform; it is retraining people, rebuilding logistics, changing suppliers and modernising factories without disrupting the business that pays for the transition.

BMW expects another 10% reduction in Munich production costs

BMW i3 vehicles on the production line at BMW Group Plant Munich

Plant director Peter Weber says the start of i3 production should reduce overall production costs at the Munich site by a further 10%, taking them below the level of the current vehicle generation.

That does not mean the retail price of the i3 will fall by 10%. BMW is talking about factory-level production costs, supported by the Neue Klasse vehicle architecture, simpler processes, automation, digitalisation and more efficient logistics.

For the EV industry, this is arguably as important as another range record. Electric cars become easier to scale when manufacturers can build them with fewer complications and lower cost, rather than relying on expensive technology that only works in premium, low-volume products.

Munich becomes an EV-only plant in 2027

BMW has confirmed that Plant Munich will manufacture only fully electric vehicles from 2027. The i3 is the beginning, not the end: more Neue Klasse models are planned for the site, including an i3 Touring.

That broadens the meaning of Neue Klasse. It is becoming a shared technology and manufacturing foundation encompassing Gen6 batteries, 800V charging, new electronic architecture, a new digital cockpit and the Heart of Joy control system.

Malaysia has already received its first taste of Neue Klasse

For Malaysian buyers, this technology is no longer theoretical. BMW Malaysia has already introduced the new BMW iX3 50 xDrive M Sport Pro, giving the local market its first production Neue Klasse model.

The Munich i3 is therefore worth following not because it automatically signals a Malaysian launch, but because it shows how quickly BMW intends to spread the same generation of EV technology into one of its most important mainstream model lines.

BMW Malaysia has not announced a local introduction for the new i3 at the time of writing, so Move Auto is not making any assumption about launch timing or pricing.

Move Auto's Take

The 900km range figure and 400kW charging capability will naturally attract attention, but BMW’s production claims may matter more in the long run. Electrification becomes sustainable for a legacy automaker only when new technology can be built efficiently at scale. Converting a century-old urban plant while keeping production running — and targeting another 10% cost reduction — shows that Neue Klasse is as much a manufacturing programme as it is a new generation of cars.

Follow Move Auto for more on BMW’s Neue Klasse, EV manufacturing and the technologies that may shape future BMW models in Malaysia.

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