BMW has announced that it will invest 800 million euros ($863 million) into its new production location in San Luis Potosí, Mexico, following numerous other manufacturers rushing to America’s Southern neighbor.
Following the introduction of the Inflation Reduction Act, which requires EVs to be assembled in North America to qualify for federal incentives, foreign automakers have rushed to establish new factories on the continent. While many of these facilities have been placed in the U.S. and Canada, automakers like BMW have also been attracted to Mexico as a cheaper alternative.
BMW announced that it would be spending a combined 800 million euros ($863 million) on its San Luis Potosí, Mexico facility as it transitions to produce both “Nueu Klasse” EVs and the batteries inside of them. The German performance brand had only begun production at the location 3 years ago, and with this new investment, it will be vastly expanding the plant’s footprint and starting new production lines. Specifically, BMW will be spending 500 million euros ($539 million) on battery production of its new cylindrical cells, with the remaining investment going to EV production.
BMW currently has 3 EVs in its lineup in North America, the i4, i7, and iX, though the Mexican facility will not produce any of these models. BMW’s current EV models are built on the “Cluster Architecture,” which is shared between hybrids, PHEVs, and EVs. The vehicles the San Luis Potosí facility will produce will be based on “Nueu Klasse,” BMW’s first 100% EV platform.
The first Nueu Klasse vehicles are expected to be from the brand’s most popular models, the 3 Series and the 3 Series SUVs, and they are expected to hit the market in 2025. In the meantime, BMW will be introducing yet another Cluster-based EV, the BMW i5.
While not much is known about BMW’s upcoming Nueu Klasse vehicles, its batteries alone are undoubtedly worth the German company’s investment. BMW states that the batteries will be 20% more energy dense, capable of 30% better range, achieve 30% faster charging, and reduce production emissions by 60 percent.
Without context, these battery improvements obviously sound impressive but can be hard to grasp, but they are truly monumental. For instance, if the upcoming upgrades were applied to the current generation BMW i4, the sport sedan would achieve a range of 475 miles and charge at a rate of 266kW, all while emitting less CO2 in the process of manufacturing.
BMW is facing an increasingly competitive EV market and a significant challenge to switch its massive manufacturing capabilities over the next few years. While it remains unclear if it succeeds in its endeavor in the long term, BMW’s first offerings have proven quite popular and remain the star of BMW’s sales sheet each quarter. If anything, consumers should be excited for the upgrades and increased availability of the world’s favorite performance-luxury brand.
What do you think of the article? Do you have any comments, questions, or concerns? Shoot me an email at william@teslarati.com. You can also reach me on Twitter @WilliamWritin. If you have news tips, email us at tips@teslarati.com!
Elon Musk
Elon Musk’s Boring Company selected for Universal Orlando tunnel project
The underground transport tunnel is designed to address the persistent gridlock surrounding International Drive.
Elon Musk’s The Boring Company has been selected for a proposed underground transit system connecting Universal Orlando Resort and the newly opened Universal Epic Universe.
The underground transport tunnel is designed to address the persistent gridlock surrounding International Drive.
As noted in a blooloop report, Universal’s Shingle Creek Transit and Utility Community Development District approved a resolution showing its intent to designate The Boring Company as the contractor for the project.
The agreement covers the full scope of the project, from the tunnel’s design, construction, and maintenance. The project has also been described in public documents as a “point-to-point innovative transportation” initiative with a 25-year agreement.
The proposed Boring Company tunnels would directly link Universal’s existing parks with Epic Universe, which sits roughly three miles away from Universal Orlando Resort. Today, buses are the only direct connection between the two destinations.
Project requirements were quite stringent. Bidders were required to demonstrate at least $75 million in bonding capacity, have a minimum of seven years of operational experience, and show prior delivery of a comparable project valued at $25 million or more within the past 15 years. The Boring Company, thanks in no small part to the Vegas Loop, meets these requirements.
The Orlando selection adds to The Boring Company’s growing portfolio of Loop-style systems. In Las Vegas, the Las Vegas Convention Center Loop has transported more than two million passengers in Tesla vehicles through underground tunnels since 2021. The greater Vegas Loop system is also under construction.
For now, residents in the area seem enthusiastic about the upcoming project. In a comment to Fox35, residents noted that the tunnels could improve traffic in the area.
“We are very congested at certain times and certain hours and that would certainly help with people not having to budget their time,” Mary Walters-Clark, a resident, stated. Another resident, Scott Heinz, echoed similar sentiments. “I think it would be a new opportunity to lessen traffic load and good for visitors as well,” he said.
The tunneling startup has started bringing its Loop projects to international locations. It recently signed a memorandum of understanding with Dubai’s Roads and Transport Authority to explore the development of a 17-kilometer underground Loop network beneath Dubai.
Elon Musk
Elon Musk tops Forbes’ list of America’s 250 greatest innovators
The ranking places Musk at the top of modern American innovation.
Elon Musk has been ranked No. 1 on Forbes’ inaugural list of America’s 250 Greatest Innovators. The ranking places Musk at the top of modern American innovation as the publication kicks off a series celebrating the nation’s 250th anniversary.
Forbes described innovation as “the grease in the economic engine” and the force that transforms industries and creates new ones. The publication highlighted that its honorees are not just inventors, but business leaders who successfully bring breakthroughs to market.
Musk, 54, was ranked No. 1 in this year’s list. Forbes noted that he is “the only person in history to have founded (or grown from nearly nothing) five companies, each with multibillion-dollar valuations, each in a different industry.” Those companies include Tesla, SpaceX, Neuralink, xAI, and The Boring Company.
Forbes’ methodology began with nearly 1,000 nominees submitted by its reporters. A panel of judges, including venture capitalist Jim Breyer, journalist Kara Swisher, and strategy expert Rita McGrath, ranked candidates based on creativity, breadth, engagement, disruption, and commercial impact. Artificial intelligence tools, including ChatGPT and Gemini, were also used to assess candidates before editors finalized the rankings.
The publication noted that more than one-third of the list consists of women and people of color, reflecting shifts in innovation and entrepreneurship over time. All individuals listed are also American citizens, though many were born abroad, including Musk himself. Musk was born in Pretoria, South Africa.
Ranked No. 2 is Jeff Bezos, 61, who Forbes credited with upending America’s $7.4 trillion retail industry through Amazon before pioneering cloud computing with Amazon Web Services. The publication highlighted that Bezos now focuses on space exploration through Blue Origin and artificial intelligence manufacturing systems at Prometheus.
At No. 3 is Bill Gates, 70, who helped launch the personal computing revolution and built Microsoft into the dominant force in workplace software. Forbes also highlighted Gates’ reinvention at age 50 as a data-driven philanthropist, including his role in helping eradicate polio from India.
Elon Musk
Tesla Model Y tops California vehicle sales despite Elon Musk backlash
Data from the California New Car Dealers Association (CNCDA) showed the Model Y outsold its nearest competitor by more than 50,000 units.
The Tesla Model Y was California’s best-selling new vehicle in 2025 for the fourth straight year, despite protests against CEO Elon Musk and a changeover to the Model Y’s updated variant that caused a pause in production and deliveries early in the year.
Data from the California New Car Dealers Association (CNCDA) showed the Model Y outsold its nearest competitor by more than 50,000 units, according to KRON4.
The Model Y recorded 110,120 registrations in California in 2025. The second-best-selling vehicle, the Toyota RAV4, posted 65,604 units, followed by the Toyota Camry at 62,324. The Tesla Model 3 ranked fourth with 53,989 sales, ahead of the Honda Civic at 53,085 units.
Despite leading the state, Model Y sales have trended downward year-over-year. Registrations fell from 132,636 in 2023 to 128,923 in 2024, and then to 110,120 in 2025. Overall Tesla sales in California also declined, dropping from 238,589 in 2023 to 202,865 in 2024 and 179,656 in 2025.
The slowdown comes as the federal $7,500 EV tax credit ended, removing a key incentive that had supported electric vehicle demand for years.
“Tesla has a few advantages. Tesla, as a brand, has a status, cache, so I think folks in certain parts of the Bay. Owning a Tesla is a thing. I think that’s breaking down over time, especially given the political controversies surrounding Mr. Musk,” CNCDA President Brian Maas said.
California saw multiple anti-Musk protests in 2025, along with notable reports of consumer-owned Teslas being vandalized and attacked by protesters and activists. The fact that the Model Y and Model 3 remained strong performers in California is then a testament to the quality and value of the two vehicles.
Tesla’s sales of the Model Y and Model 3 might see an increase this year, as the company has announced that it is sunsetting its two more expensive cars, the Model S and Model X. With the Model S and Model X retired, more consumers will likely go for the Model Y and Model 3.
“Maybe the Model S has outlived its usefulness in terms of attracting customers. It’s no surprise the ones they kept are the Model Y and Model 3,” Maas noted.
Elon Musk’s Boring Company selected for Universal Orlando tunnel project
Elon Musk tops Forbes’ list of America’s 250 greatest innovators
