In a strategic move aimed at reducing its reliance on China for BEV battery technology and production, BMW Group has announced a significant long-term partnership with Croatian BEV hypercar manufacturer Rimac.

Forming a European alliance of sorts for battery technology and production, BMW’s tie-up with Rimac will give BMW access to the brand’s high-performance batteries, and in turn allow Rimac to ramp us its battery production.

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The BMW-Rimac collaboration will focus on innovative solutions in the field of high-voltage battery technology for selected battery-electric vehicles, though more details about what form the strategic tie-up will take, as well as its scope and content will only be revealed at a later stage.

According to Automotive News Europe, BMW declined to provide further details on which batteries or models would be developed in the partnership, saying only that it did not apply to the new (sixth-generation) cylindrical batteries powering the Neue Klasse BEV models which go into production in 2025.

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BMW’s Neue Klasse BEV models are slated to feature run on an 800V system utilising new cylindrical batteries, which is claimed to offer 20 percent higher energy density than BMW's current prismatic cells and offer faster charging times.

Rimac however, said on its press site that its collaboration with BMW Group represents the largest and most ambitious project the company has undertaken to-date. The project requires the establishment of automated production lines for batteries at the Rimac Campus in Zagreb, Croatia.

BMW’s long-term partnership with Rimac Technology – a subsidiary of Rimac Group which is 45 percent owned by Porsche – will see the company transition from niche high-performance solutions supplier to high-volume Tier 1 component supplier.

Rimac Technology specialises in production of high-voltage battery packs, e-axles, as well as electronics and software solutions.

BMW’s partnership with Rimac is one of a growing number of collaborations  as part of its 'local for local' strategy which focuses on minimizing CO2 emissions and supply chain risks by sourcing materials close to its markets.

BMW has high-voltage battery assembly partnerships in Hungary, USA, Mexico, China, and Germany, enhancing its regional supply chains and ensuring resilience in its production strategy. Some of these battery suppliers include GWM-owned SVolt Energy, CATL and EVE Energy which will produce BMW’s sixth generation batteries for use in future BEV models.