auto alert
➲ Chinese-owned MG is advancing the brand’s heritage
with products like the MG3 supermini
and the bulk of car production to China,
while the research and development
function, along with limited vehicle
manufacture activity, was to remain in the
United Kingdom. This latter intent was duly
confirmed in May 2007, when Nanjing Auto
held a ceremony, announcing the return
of “low volume vehicle assembly” of the
MG TF sports car to the former MG Rover
Longbridge plant, albeit using parts made
in China.
Further proof that the MG brand, under
its new ownership, was likely to survive,
emerged later that year when Nanjing MG
officially launched its MG 7, which was
described as a Chinese-built update of
the formerly British-built MG ZT, which,
in turn, was originally derived from the
Rover 75. The Nanjing product was being
manufactured on the acquired MG Rover
tooling, and versions sold in China included
three 1,8-litre variants plus a stretched longwheelbase MG7L derivative. Power came
from an updated Euro 4-compliant 160 hp
Lotus-developed turbocharged version
of the original 4-cylinder powerplant, or a
177 hp 2,5-litre V6 previously known as
the MG Rover K-Series. In the meantime,
British-based NAC MG (UK) Limited had
invited dealers to join a network selling
and supporting its TF LE 1500 model, and
received expressions of interest from more
than 100 enterprises, resulting in 40 letters
of intent.
Nanging MG’s situation was somewhat
complicated, however, by the fact that
another Chinese manufacturer, Shanghai
Automotive Industry Corporation, had
previously acquired the intellectual property
rights to two of MG Rover’s key models,
the 25 and 75, as well as their power units.
SAIC had also, in the interim, launched its
own creatively-named Roewe 750 version
of the Rover 75 design, in China.
Common sense eventually
prevailed, however, and
in 2008, SAIC signed
a merger contract with
Nanjing Automobile (Group)
Corporation in Beijing, leading
to the effective absorption of
Nanjing’s automotive assets
by SAIC, and the consequent
consolidation of all the former
MG Rover intellectual and
manufacturing rights, under
a single Chinese ownership
umbrella.
Time has moved on, however,
and it was recently reported that MG sales
in the United Kingdom had exceeded 1 000
units in the first five months of 2014, this
being an all-time record for the JanuaryMay period. Products currently being sold
in the UK are the MG3 supermini, launched
in September, 2013, and MG6 sedan and
fastback, which are the same basic models
that are available in South Africa. The MG
marque is celebrating its 90th Anniversary
this year, and it seems that the new owners
appreciate its heritage, and are determined
to carry it forward. MG is aiming to have
around 80 active sales dealerships in the
UK by the end of 2014.
Volvo’s Chinese Exports
On August 2nd 2010, the Zheijang Geely
Holding Group Company Limited acquired
ownership of the Volvo Car Corporation
from the Ford Motor Company. At the time,
Geely confirmed that Volvo would retain
the Swedish location of its headquarters,
and a European manufacturing presence
in Sweden and Belgium. In terms of
the agreement, Ford would continue
to cooperate with Volvo in the crosssupply of powertrains, metal stampings,
components, engineering support and
information technology for an undisclosed
period of time. This was a highly significant
event for the broader motor industry, as it
is the first time that a Chinese company