MG Motors looks to set up shop in Mexico
MG Motors, which belongs to the Chinese SAIC Motor Corp, did not give any details about the planned factory. There is thus no information about the timeline, planned capacity or investment. In a statement quoted by the news agency Reuters, the carmaker only emphasised that it wants to “make Mexico a pole for growth and expansion for SAIC Group and MG Motor in Latin America and the Caribbean.”
Sister brand IM is apparently also looking to enter the Mexican market.
There was no mention of the US, Reuters notes. That may seem odd, considering MG Motors could circumvent the 100 per cent import duties imposed on EVs imported from China if it were to produce and import them from Mexico. However, the US has not been happy about Chinese carmakers choosing that route.
In fact, Washington has asked Mexico to stop subsidising Chinese automakers setting up factories there. BYD, which is also building a manufacturing site in Mexico, explicitly said that it would not export its vehicles to the US. But, as mentioned above, MG Motors has not said what cars it would produce when and for what market – only that producing in Mexico would help it gain market knowledge specific to Latin America.
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