hekla eruption, Eyjafjalajokull , ash cloud, volcano, bmw, X5, X6BMW production in US halted by Volcanic ash cloudThe recent volcanic activity of Eyjafjalajokull has filled the skies around Iceland and Europe with a tremendous ash cloud that could halt production of BMW automobiles at the company's U.S. factory in Spartanburg, South Carolina, reports AutoNews.com. If trans-Atlantic flights continue to be delayed for two additional days, says BMW spokesman Mathias Schmidt, the German automaker will be to supply the necessary transmissions to assemble X5 and X6 sport utility autos.
BMW hurting because of ash cloud?
If you think BMW's bottom line would hurt a production layoff, imagine what the ash clouds from Eyjafjalajokull are possibly doing to the airline industry and what a possible Hekla eruption might do. According to the BBC, the International Air Transport Association finds that airlines are losing around $ 300 million per day total due to flights canceled because of the ash cloud. If the trouble persists for weeks, many billions of dollars could possibly be lost. 63,000 flights were canceled since the eruption chain started on April 14. If the BMW plant in Spartanburg were to shut down, the company would be losing out on the production of about 600 cars per day, split between the X5 and X6 (numbers estimated by BMW). Also called off was a press trip to a BMW factory in Shenyang, China as a result of restricted air travel.
In 2010, The United States has been good to BMW
According to Bloomberg, the U.S. was BMW's biggest market in the first two months of 2010, so shutting down X5 and X6 production can be noticed. The X5 line is considered to be BMW's "luxury SUV" class. Variants consist of the xDrive48i, turbo diesel xDrive35d, and X5 xDrive30i. The X6 line appears to be the "first ever sports activity coupe," according to BMW. Model production affected by the ash cloud contains X6 xDrive35i, ActiveHybrid X6, and X6 xDrive50i.
Sources http://www.crainsnewyork.com/article/20100415/FREE/100419907http://www.a...







Informative
Thanks, Marrowe for that informative report!