As a result of rising demand for SAIC Motor vehicles on the European continent, the largest automobile manufacturer in China, SAIC Motor, has decided to build its very first facility on the continent.
According to a recent declaration made by the state-owned company that is the proprietor of the well-known MG brand, the next plant would be used for the production of electric vehicles. According to a representative for SAIC who spoke with sources about the topic, the firm has not yet decided whether or not it will make MG automobiles at the plant.
The MG brand has been in existence for more than a century, and up until 2016, it was manufactured in the United Kingdom. In spite of this, production relocated to China in the year 2016. A spokesperson for SAIC told sources on Thursday that the company was still in the process of securing a site in Europe and finalizing other project details.
MG, IM, and Maxus are among their many brands. The spokesperson added that we are still determining which products will be manufactured at the facility. According to SAIC, vehicle sales outside of China increased in the first quarter of this year. The majority of overseas sales were attributed to the MG brand, as the number of automobiles sold in Europe more than doubled during the same period.
Almost seven years have passed since SAIC halted MG production at the Longbridge plant in Birmingham. MG announced in 2016 that vehicle assembly in the United Kingdom was no longer "required" and that vehicles would arrive fully assembled and available for distribution.
The Longbridge plant produced automobiles such as MG and the original Mini. In the years that followed, the location battled post-war economic depression and the international emergence of the automobile industry. It also recovered from strike action, mergers, acquisitions, and share price declines.
After MG Rover's bankruptcy in 2005, production at the plant was suspended. The brand was ultimately acquired by SAIC. The MG6 was introduced in 2011. It was the first MG automobile assembled at Longbridge in 16 years.
The five-seater automobile was designed in the United Kingdom, however its components were produced in China. In recent years, Chinese automakers including SAIC, Geely, and Great Wall have increased their market share. China's exports have been bolstered by demand for electric vehicles and sales to Russia, as many Western nations imposed sanctions on Moscow in response to its invasion of Ukraine.
According to official data, China exported more than one million vehicles in the first three months of this year. Consequently, it surpassed Japan as the world's largest exporter of automobiles. In addition to its facilities in China, SAIC also maintains manufacturing operations in the countries of Thailand, Indonesia, India, and Pakistan.
The Chinese corporation, which has joint ventures with the German automaker Volkswagen and the American automaker General Motors, was responsible for the sale of 5.33 million automobiles around the globe in the previous year. According to SAIC, Europe was its most important international market, accounting for more than 100,000 car sales.