In an effort to become more cost effective. BMW is now starting to produce components in house. Rather than rely on suppliers. Current facilities in Leipzig and Regensburg are undergoing expansion. An entirely new Leipzig stamping facility will be built in 2009.
The statements made by BMW's deputy chairman of the supervisory board, Manfred Scoch to the suppliers. Many are displeased with how BMW thinks they are treating them. All of this dissatisfaction has led the suppliers to feel that BMW has shifted its focus from quality and innovative technology to the bottom line.
Source: Automotive News