SAIC to manufacture the MG4 in Europe

The SAIC brand MG Motor is considering building the electric compact model MG4 in the planned European plant. While there is no concrete location for the factory yet, but the decision is expected to be made in the next two or three years.

At the beginning of July, there were first reports that the Chinese car company SAIC was planning to build a plant for electric cars in Europe. New information now comes from William Wang, European head of MG Motor. And even though it is still not clear where the factory will be built, production will be significantly more expensive than in China, Wang told Automotive News Europe.

“We need to check the energy costs, the labour costs, just everything, to find out which country is best. We need a very detailed calculation,” Wang said. Despite the higher costs, he said it was time to ramp up local production “if you sell 200,000 cars a year”. In addition, he aims to save the import duty of ten per cent, Wang explained.

As the UK is the largest European market for MG, it is a possible location option. In addition, SAIC still owns a plant in Longbridge near Birmingham, which is currently used as MG Motor’s research and development centre. Vehicles have not come off the production line there since 2016. But the manufacturer would also have to invest heavily there. The assembly plant was razed to the ground at the beginning of the decade to prepare the site for housing development.

As mentioned above, the MG4 electric series will be built in Europe first (when the plant is built). At the beginning of July, MG Motor announced that it would add a new top model to the range with the the MG4 XPower with 320 kW four-wheel drive. A new variant with a larger battery for the single-engine standard model is also planned.

SAIC claims that the brand is a success in Europe. According to SAIC, 115,000 MGs were sold across Europe in the first half of 2023 – more than double the number sold in the same period last year. (in German, paywall)


about „SAIC to manufacture the MG4 in Europe“
Andrew Finch
05.08.2023 um 13:50
Where will the batteries come from if the car is built in the UK? From 2024 EU rules require that 45% of the car's value must originate from the car's country of manufacture and for the batteries the required percentage is between 50% and 60%. We currently have one Gigafactory in the UK (Chine has 300), since the Conservative Government failed to stand up for BritishVolt. If we have to import batteries the EU will impose a 10% import tariff on cars made in the UK. This makes the UK an unlikely destination for SAIC's new plant. Germany currently has six Gigafactories and more are being built. This makes the EU a more likely recipient, as then they can ship throughout the EU with no tariff surcharge. That's why we joined the EU!
Ian Skipp
07.08.2023 um 15:42
Seriously? Britishvolt? The single most cynical attempt to relieve investors and governments of money with absolutely nothing tangible to show for it. Not a brick laid on the site and not even any proprietary tech for the administrators to sell. Government was wise after the fact. Should never have supported the project and the tax payer was lucky not to burn more cash than we did.
David Fenton
08.08.2023 um 08:45
The point still stands. The UK has been sleeping while everyone else gears up for mass EV production. Cars like the MG4 can't take a 10% premium and so SAIC will be looking to one of the 27 EU countries for the new factory.
Andy Saint
05.08.2023 um 17:30
The fact that the old factory was "razed to the ground" is actually better for a new factory than trying to re-purpose an old fashioned factory. Recent developments like "Gigacastings" (Search Idra Gigapresses also "Munro Live @ idra") pioneered for Tesla are rendering old factories obsolete.
Richard Bicknell
06.08.2023 um 09:43
They might struggle at Longbridge. Most of the old site has been sold and developed, new shopping centre, houses etc
Colin Darling
08.08.2023 um 10:18
The former Honda site being used for anything?

Leave a Reply

Your email address will not be published. Required fields are marked *