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      07-26-2008, 10:04 AM   #4
Voltigeur
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Quote:
Originally Posted by MarkE90M3 View Post
The low value of the U.S. dollar against the Euro has forced BMW to change its production plans for the next-generation Z4 sports car.
This doesn't make sense. A low USD/EUR means:

1. the Z4 made here is relatively cheaper to make for the export market, primarily EUR and Asia

2. the Z4's production cost is locale hedged in its main market, ie the USA, if it were made in Germany where labor rates are relatively high and the euro is over 1.55 then it's costly to shift production to Regensberg (nice city BTW)

The only thing that makes sense to me is that they want the capacity here to mnake the more expensive X6 (leading to USD/EUR advantage)
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