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MG manufacturing to return to Europe with €200 million Spanish factory

The new MG factory will be up and running by 2028

MG logo

It’s been more than 20 years since MG Rover went into administration, which ended mass production here in the UK. While the MG brand has returned to full strength since, operations have largely been based in China - until now. 

Production isn’t making a comeback to the UK, although it is starting up in Europe for the first time. In an official announcement, MG says the brand is “proud to announce that European manufacturing will restart at a new facility in Galicia, Spain. This investment of approximately €200 million is a major milestone in MG’s long-term commitment to the European market and the acceleration of its ‘In Europe, For Europe’ strategy.”

Chinese-owned brands such as MG can develop cars at lightning speed, and it appears the same applies to factories - even outside of China. That’s because MG’s new plant in Galicia will be operational as soon as 2028 with an annual capacity of up to 120,000 vehicles and over 2,000 jobs created across Europe as a result. 

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Not only will the site produce new MGs, it’ll also house research and development - plus “core component supply, and intelligent logistics operations, forming a fully connected, end-to-end industrial ecosystem”, according to MG. Critical chassis and suspension tuning is expected to continue at the SAIC Motor Technical Centre (SMTC) at MG’s Longbridge site in Birmingham.

MG says the new production facility will “deepen collaboration with leading European technology partners”, although the firm hasn’t revealed which partners it's referring to. Delivery times should be quicker to the UK market, too.

There is a Stellantis car manufacturing hub in Galicia, and while the giant multinational car company has brought in Chinese brand Leapmotor to another plant in Zaragoza, there’s no word on whether MG’s new plant is related to the existing Stellantis factory.

MG’s renaissance has been down to its keenly priced strategy and impressive EV tech - highlighted recently with the MG HS PHEV, which won our plug-in hybrid mega test. Right now you can enjoy an average saving of over £5,000 when you buy the MG HS through the Auto Express Buy A Car service. 

Did you know you can sell your car through Auto Express? We’ll help you get a great price and find a great deal on a new car, too.

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Alastair Crooks, Staff writer Auto Express
Senior news reporter

A keen petrol-head, Alastair Crooks has a degree in journalism and worked as a car salesman for a variety of manufacturers before joining Auto Express in Spring 2019 as a Content Editor. Now, as our senior news reporter, his daily duties involve tracking down the latest news and writing reviews.

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