BMW confirms X7

BMW Australia is almost certain to introduce a bigger new luxury SUV called the X7, which will be the largest SUV ever offered by the German car-maker when it enters production in 2016.

Motoring.com.au understands the X7 will be built in right-hand drive for global consumption and should become BMW Australia’s sixth SUV by 2017, following the X1, X3, X5, X6 and X4, which makes its public debut in New York next month before arriving here by July.

“We don't have any further details at the moment regarding the X7, and clearly its release will be a little way off yet,” cautioned BMW Group Australia General Manager Corporate Communications, Lenore Fletcher.

“However, given the popularity of the SUV in the Australian market, and our huge success in that market to date with X1, X3, X5 and X6 (not to mention the X4 arriving in the third quarter), we would be very interested to add it to our model range if the vehicle is confirmed as available to us. Stay tuned.”

The range-topping X7, which will be a direct rival for the Mercedes-Benz GL-Class and the rumoured Audi Q9, will be based on a modified version of the platform that underpins the third-generation X5 and upcoming second-generation X6.

Measuring about 200mm longer than the X5 (including a longer wheelbase and longer rear overhang) and offering genuine seven-seat capacity, the X7 will be produced alongside the X5 and X6 in Spartanburg, South Carolina.

It will be produced with similar powertrains as the X5, including a range of inline six-cylinder and V8 petrol engines, as well the plug-in petrol-electric hybrid system recently previewed by the X5 Electric Drive. However, four-cylinder, rear-wheel drive versions are not anticipated.

As widely predicted last week, BMW Group chairman Norbert Reithofer announced his company would invest $US1 billion ($1.08 billion) in its US facility to build the new flagship SUV.

Speaking at celebrations to mark 20 years of manufacturing at BMW’s Spartanburg factory, Dr Reihtoher said the investment would see production capacity increase by 50 per cent, from an existing 300,000 to 450,000 per annum by 2016. Including a 10 per cent workforce increase to 8800 employees, the expansion will give Spartanburg the largest production capacity of any plant in BMW’s global production network.

“Plant Spartanburg was built to enhance and expand the BMW line-up, underscoring the BMW Group commitment to the United States,” he said.

“In addition to the X3, X5, X6, and the new X4, we are today announcing another all-new, larger X model to be manufactured exclusively at this plant for our world markets: the X7.”

BMW Group says its presence in South Carolina supports a total of 30,000 jobs. The Spartanburg plant has built more than 2.6 million vehicles, including X3, X5, X5 M, X6 and X6 M models.

The first American-made BMW, a 318i, rolled off the line there in 1994 and last year it produced an average of 1100 SUVs per day. Z3 and Z4 sports cars were also produced at the plant between 1993 and 2008.

BMW’s long-speculated X7 project, development of which is reported to have been cancelled during the 2008 GFC, aims to cash in on the global boom in SUV sales.

Last year, the US accounted for 19 per cent of the BMW Group’s 1.66 million global sales (less than China at 20 per cent) by selling 309,280 vehicles -- one-third or 102,502 units of which were crossovers.