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Jon Griffin, Birmingham Mail, 4th March, 2010

LONGBRIDGE is being consigned to history after more than 100 years – with a multi-million pound Chinese makeover to turn the site into the nerve centre of MG design worldwide.

The former home of Lord Austin, British Leyland, Red Robbo, Sir Michael Edwardes, BMW and John Towers is to be renamed MG Birmingham, with an MG Worldwide Design Studio at the heart of the new operation.

The launch of the MG6 model later this year will pave the way for production running into thousands of vehicles, transforming the car firm from a tiny niche operator making just 400 cars a year into a volume manufacturer with major export ambitions.

The plans mark the biggest overhaul at the UK’s most famous factory site since Chinese firm Nanjing bought the former assets of MG Rover for £53 million after the car firm went bust amid debts of £1.3 billion nearly five years ago.

The Chinese plans for Longbridge have remained largely under wraps since China’s biggest car firm Shanghai Automotive Industry Corporation took over Nanjing Automobile – but the site is now gearing up for millions of pounds of investment.

Guy Jones, Sales and Marketing Director of MG Motor UK Limited, said: “I do not think that people realise how big MG could be globally. They could have just shipped everything in from China, but this could be the gateway to Europe for MG.

“This is a multi-million pound investment. We want to make Birmingham the home for the MG brand globally – Longbridge is going to be revitalized. We want the site to be referred to in common language as MG Birmingham. The company will be MG Motor UK.

“We are in the second largest city in the UK but, to global and international people, Longbridge is meaningless. This is more of a subtle change; the postal address remains the same. We want to give it its own identity separate from MG Rover, to give it international recognition. Instead of saying ‘here is a plan of Longbridge, we will say here is a plan of MG Birmingham.’”

Mr Jones said the launch of the MG 6 later this year would be the catalyst for transforming the Chinese car firm into a volume manufacturer – so far the factory has only sold a few hundred limited edition cars and MG TF 135 models.

“We are going from small volumes to large volumes, from hundreds of cars to thousands. This is a very exciting time for a new company. This is the complete opposite of the rest of the market, where global players are looking to reduce and fight their corners.

“We are still going to be a very lean, very efficient company, but we have got the biggest player in the biggest car market in the world as the parent company.” The revamp of Longbridge will also see an on-site MG Dealership set up in the old Visitor Centre while the Conference Centre will be refurbished with a view to attracting other users.

“We do not have a significant presence in the centre of Birmingham and we are sure people would like to have their cars serviced at a factory dealership,” Mr Jones added.

[Source: Birmingham Mail]

MG UK Guy Jones, Longbridge, MG Birmingham, MG Motor UK Limited

John Cranage, Birmingham Post, 7th October, 2009

MG production at Longbridge is at a standstill

MG Motor UK yesterday confirmed its plan to suspend production temporarily at Longbridge as the “season” for two-seater sports cars ends. The line producing low volume numbers of variants of the MG TF will resume in March 2010 when demand is expected to pick up.

The Chinese-owned company said it expects to cut 20 jobs at the former MG Rover plant in response to the move, which is in line with production cuts seen at most of the world’s carmakers over the past year after the global credit squeeze and recession sent sales plummeting. The remaining 80 staff will be retained to help prepare completed cars for shipping to Dealers and to work on routine plant maintenance.

Yesterday’s UK registration figures from the Society of Motor Manufacturers and Traders showed that MG had its best month in September since production resumed at Longbridge last year. The company sold 61 cars during the month, bringing the total for the year so far to 265, volumes largely in line with industry expectations.

We build the TF in low volumes and in batches. The market for two-seater sports cars in the UK is down 30 per cent over last year and has fallen by 40 per cent since 2007. The peak sales period is between March and September and sales over the next few months will be very low. The logical time to re-start production will be in March when the market starts to pick up again. We have enough cars in stock to keep the Dealers supplied during the winter months.” Guy Jones, MG Motor UK Limited’s new Sales and Marketing Director

Since it acquired MG Rover’s manufacturing assets following the collapse of the company in 2005, Shanghai Automotive Industry Corporation (SAIC) has worked on reviving the TF two-seater sports car, a car aimed largely at MG enthusiasts in the UK. All 50 units of a limited edition variant celebrating the 85th Anniversary of MG have already been sold, the company said yesterday.

Newly-appointed Sales and Marketing Director Guy Jones said: “We build the TF in low volumes and in batches. The market for two-seater sports cars in the UK is down 30 per cent over last year and has fallen by 40 per cent since 2007. The peak sales period is between March and September and sales over the next few months will be very low. The logical time to re-start production will be in March when the market starts to pick up again. We have enough cars in stock to keep the Dealers supplied during the winter months.”

SAIC, which produces a version of the Rover 75 saloon car in China, is understood to be developing plans for a new generation of MG sports car that could have the capacity to raise production volumes at Longbridge.

As reported in the Birmingham Post yesterday, Mr Jones has joined MG Motor UK with responsibility for UK sales, marketing, public relations and brand development after holding a similar post at LDV, the Birmingham van company that collapsed in June after the recession sent the light commercial vehicle market into freefall.

[Source: Birmingham Post]

MG UK Guy Jones, Longbridge, MG TF, MG TF 85th Anniversary

BBC News, 5th September, 2009

Production lines at the former MG Rover plant in Longbridge have been stopped and up to 20 employees could be made redundant, the BBC has learned. Production of the MG TF sports car restarted at the factory last year but it is now thought production work will not resume until next March, BBC Midlands Today Transport Correspondent, Peter Plisner, said.

MG Motor UK Ltd, previously Nanjing, said it was making some workers redundant but had not decided how many. In a statement, the company, which bought MG Rover’s assets following its collapse in April 2005, said: “Clearly this is a difficult time for employees and it would be irresponsible to make this a bigger issue than it is”.

Peter Plisner said the firm had confirmed 2009 production of the MG TF model at Longbridge had now ended. Under Chinese ownership, it was hoped that new models would be built at the plant and more jobs created but in April MG Motor UK Ltd said it could not make assurances of long-term employment stability for staff due to the current economic climate.

[Source: BBC News]

MG UK MG Motor UK Limited, MG TF, Peter Pilsner

John Cranage, Birmingham Post, 6th October, 2009

Former LDV executive Guy Jones has won a new job at MG Motor UK Limited, the Chinese-owned sports car manufacturer based at Longbridge. He has been appointed Sales and Marketing Director at MG  UK where he will be responsible for UK sales, marketing, public relations, after-sales and brand development.

Mr. Jones was previously Marketing Director at LDV Group Limted, the Birmingham van company that collapsed in June. His appointment was confirmed amid speculation last night that up to 25 jobs at MG’s production line at Longbridge were set to be cut.

In LDV’s final months, Mr. Jones was responsible for launching a daily blog to keep the company’s workforce up to date on efforts to save the company, which at the time was owned by the Russian automotive conglomerate Gaz, run by oligarch Oleg Deripaska. Since June, Administrators PricewaterhouseCoopers have been negotiating with a number of potential candidates to take over the LDV brand and assets and are now believed to be engaged in exclusive talks with Shanghai Automotive Industry Corporation (SAIC), the ultimate owner of MG.

I am delighted to join MG at the most exciting time in its 85-year history. MG is a much loved iconic British brand that now has SAIC as a proud new owner, capable of developing the brand on a global basis. SAIC are already playing a leading role in China, now the world’s largest car market, and have ambitious global plans for the MG brand. I am looking forward to playing a key role in developing this exciting new business.” Guy Jones, MG Motor UK Limited’s new Sales and Marketing Director

Mr. Jones, who held senior marketing roles at Bentley and Kia before joining LDV, was yesterday quoted by the website MotorTrader.com, as saying: “I am delighted to join MG at the most exciting time in its 85-year history. MG is a much loved iconic British brand that now has SAIC as a proud new owner, capable of developing the brand on a global basis. SAIC are already playing a leading role in China, now the world’s largest car market, and have ambitious global plans for the MG brand. I am looking forward to playing a key role in developing this exciting new business.”

Mr. Jones could not be contacted for further comment yesterday. MG builds cars on part of the old MG Rover site at Longbridge after Nanjing Automobile Corporation, which is now part of SAIC, bought the production assets of the failed British carmaker in July, 2005, for £53 million.

MG UK now builds variants of the MG TF sports car at Longbridge, including a special edition designed to celebrate the marque’s 85th Anniversary earlier this year. The most recent registration figures available from the Society of Motor Manufacturers and Traders (SMMT) showed that the company had sold 184 cars in the UK in the first seven months of this year. MG said it had benefited from the Government-backed Scrappage Scheme for cars and light vans, launched in an attempt to put the brake on plummeting sales experience by virtually all manufacturers in the recession.

[Source: Birmingham Post]

MG UK GAZ Group, Guy Jones, LDV Group Limited, PricewaterhouseCoopers

Clive Goldthorp

MG TF 85th anniversary edition

MG Motor UK Limited has just launched a new limited edition of the TF model to celebrate the famous MG marque’s 85th Anniversary this year.

The MG TF 85th Anniversary’s key features include:-

• Unique new interior including leather seats

• 3 distinctive colours

• New external design – alloy wheels and unique 85th Anniversary graphics

• 50 vehicles only

• New suspension and handling package

• A competitive price of just £15,664 OTR that comes down to only £13,664 with the Government’s Scrappage Scheme allowance.

The external modifications are confined to the intoduction of three new colours and the distinctive graphics referred to above but the interior has also been upgraded with monogrammed sill finishers, a unique 85th Anniversary solid aluminium gear knob, Aubergine leather trim and a high quality ICE system.

However, AROnline reckons that the latest TF’s new ride and handling package will prove to be of more interest to die-hard MG enthusiasts.  MG UK claims that new Bilstein® suspension, Eibach® anti-roll bar system, lower ride height and a modified wheel set up on Rimstock® produced ‘Twisted Pepper’ style wheels make 85th Anniversary version the best ever TF to drive.

The company plans to build just 50 TF 85th Anniversary models and reckons that any prospective puchasers will have to be pretty quick off the mark in order to reserve them…

MG UK MG Motor UK Limited, MG TF 85th Anniversary

John Cranage, Birmingham Post, 27th August, 2009

MG UK was non-committal yesterday over a claim that it was preparing to suspend production at its Longbridge factory in Birmingham until next year.

The BBC said the MG sports car line – all that remains of the once-mighty Austin car plant – would cease when production of a special version of the MG TF car comes to an end in a few weeks’ time. Such a move would prevent stocks of completed cars from building up at a time when sales overall are still bumping along the bottom after 12 months of steep falls caused by the credit crunch and recession.

The Chinese-owned company said in response that “no final decision has been made regarding a temporary shutdown of our production facility.” It went on: “If such a decision is taken we are likely to make a statement at that time confirming our intentions.”

Industry insiders said a temporary shutdown of the MG line would not come as a surprise in what are still tough times for car companies. Honda earlier this year shut its Swindon assembly plant for four months and most other UK factories have had substantial cuts in output this year.

Industry insiders said a temporary shutdown of the MG line would not come as a surprise in what are still tough times for car companies. Honda earlier this year shut its Swindon assembly plant for four months and most other UK factories have had substantial cuts in output this year.

Registration figures from the Society of Motor Manufacturers of Traders showed that MG Motor UK Ltd, the new name for Nanjing Automobile Corporation’s Longbridge operation, had sold 184 cars between January 1 and July 31 this year – just under six a week. Those figures relate to the UK new car market and no information is available for how many cars, if any, are exported from Longbridge.

Nanjing Automobile Corporation (NAC), which is now part of China’s SAIC Group, bought the production assets of the failed MG Rover car company in July 2005 for £53 million with the intention of building traditional MG two-seater sports cars on the site.

Progress in building cars at the historic site was hampered by quality concerns and the NAC/SAIC merger. There were reports in March that about 30 jobs were to go at Longbridge but MG Motor UK refused to confirm that number.

But in April this year the company announced the launch of an entry-level MG TF, called the MG TF 135 and that was followed earlier this month by the announcement of a special edition TF to celebrate the 85th anniversary of MG.

MG UK’s statement stressed that its engineering development centre at Longbridge continues to work on future MG products for the UK and Western European markets. The company could not be contacted for further comment.

MG UK’s Marketing Manager Peter Brooking said on the 12th August that the cars were being well-received by dealers and buyers and added: “We fully expect the TF 135 to further re-establish MG’s presence and sales volume in the small sports car segment through its value-for-money price point of £13,511 on the road.

“The automotive market has been going through a very difficult time. However, we have been working hard to promote the TF and re-establish the MG brand in the UK marketplace. Whilst we do have a lot of interest from overseas, at present the UK market is where our focus lies.”

MG UK’s statement stressed that its engineering development centre at Longbridge continues to work on future MG products for the UK and Western European markets. The company could not be contacted for further comment.

[Source: Birmingham Post]

MG UK Longbridge, MG TF 135, Peter Brooking

David Bailey, Birmingham Post, 25th August, 2009

MG UK Longbridge, MG 6, MG TF 135

Clive Goldthorp

Autocar’s website and sister title Motorsport News have this week reported that two of the former BMC marques most closely associated with Motor Sport are set to return to competition in the next couple of years.

MINI’s forthcoming new crossover model, which will, if current rumours are correct, be badged the Countryman and will reach the showrooms next year, may well be used as the basis for a World Rally Championship (WRC) contender in 2011. The Countryman JCW will be launched that year and will be powered by a turbocharged 1.6 litre engine of the type specified in the proposed new rules for WRC engines.

Motorsport News cites a source close to the WRC’s Promoters, International Sportsworld Communicators Limited, as saying that there has been ‘a very positive response’ to the WSC from MINI personnel and that: ‘Mini has a massive history in our sport and it could have a very big future. The car would fit very well with the WRC and, under the new (technical) regulations for 2011, the necessary technology could be imported into the car to turn it into a winner quickly. MINI is just the sort of name we need back.’

It would be terrific to see MINI in the WRC. I’ve got the highest respect for the company and it would be magnificent for the glory days of rallying to return and for MINI to be a part of that.” Paddy Hopkirk, 1964 Monte Carlo Rally winner

Paddy Hopkirk, who won the 1964 Monte Carlo Rally in a Mini Cooper S, commented that the BMW Sauber F1 Team’s recently announced withdrawal from the Formula One World Championship might release sufficient funds to enable BMW Group to take MINI back into the WRC before adding: ‘It would be terrific to see MINI in the WRC. I’ve got the highest respect for the company and it would be magnificent for the glory days of rallying to return and for MINI to be a part of that.’

However, a MINI UK spokesman told Autocar: ‘There are no official plans at this stage. It is a story that has been doing the rounds for some time, as we will have a four-wheel-drive car for the first time but, at the moment, there isn’t a plan. If it does happen it would be late 2011 at the earliest, as JCW models traditionally follow on 12 months after the launch of the car.’

MG UK has also not, as yet, issued any official announcement about a new Motor Racing Programme. This week’s stories were, in fact, prompted by remarks made by the MG Car Club’s MG Trophy Championship Co-ordinator who indicated that a new class would be created for the MG 6 if and when the 1.8 litre turbocharged model was launched in the UK next year.

The Championship Co-ordinator, Peter Macwaters, added: ‘The MG 6 is a stunning-looking car and we would love to see it join the series as soon as possible… It would be fantastic to see a new MG out racing and if we could get a few out it might stir up some interest from MG in the series,’ but he also pointed out that: ‘The biggest stumbling block at the moment is the lack of information. Without details such as weight and torque, it’s hard to say if the car would be competitve with the ZRs.’

The MG 6 is a stunning-looking car and we would love to see it join the series as soon as possible… It would be fantastic to see a new MG out racing and if we could get a few out it might stir up some interest from MG in the series.” Peter Macwaters, MG Trophy Championship Co-ordinator

AROnline, though, suspects that MG UK may be aiming rather further up the UK’s Motor Racing ladder than the MG Trophy Championship for the marque’s official return to the tracks. MG UK’s Sales and Marketing Director, Gary Hagen, told us a year ago that: ‘We definitely need to get back into racing. Ideally, sooner rather than later, too. We’re already having an ongoing dialogue with at least two interested parties.’

We reckoned then, and still do, that a return to the British Touring Car Championship (BTCC) might be on the cards. Indeed, with the sole works-backed team, Vauxhall’s Triple Eight Engineering Limited-run VX Racing, withdrawing at the end of this season, we would not be too surprised to hear that the BTCC’s Series Director, Alan Gow, has already been knocking on MG UK’s door in Longbridge…

MG UK, Mini British Touring Car Championship, MG 6, MG Car Club, MG Trophy, MINI Countryman, World Rally Championship

Jon Griffin, Birmingham Post, 13th August, 2009

A new MG is being produced at Longbridge to commemorate 85 years of one of the best-known sports cars in the world. The MG TF 85th Anniversary model, a limited-edition car due for launch this month by Chinese firm MG UK, marks a marathon eight and a half decades of MG production.

The new variant will add to the range at the Birmingham car factory following production launches of the limited-edition TF LE500 last year and the TF 135 in spring 2009. The TF 135 model is already in showrooms across the UK while the factory is gearing up for the debut of the 85th Anniversary model.

MG UK’s Marketing Manager, Peter Brooking, said: “We are now building the entry-level TF 135 model at Longbridge, with production of the limited-edition MG TF 85th Anniversary commencing this month. Both versions have been well received by dealers and customers, and we are confident they will build on the success of the TF LE500.

“The TF continues to appeal to a broad cross-section of customers, with the limited-edition nature of the LE500 and 85th Anniversary models being of particular interest to MG enthusiasts and previous owners.”

We are now building the entry-level TF 135 model at Longbridge, with production of the limited-edition MG TF 85th Anniversary commencing this month. Both versions have been well received by dealers and customers, and we are confident they will build on the success of the TF LE500.” Peter Brooking, Marketing Manager, MG Motor UK Limited

“We fully expect the TF 135 to further re-establish MG’s presence and sales volume in the small sports car segment, through its value-for-money price point of £13,511 on the road,” added Mr Brooking. “The automotive market has been going through a very difficult time.  However, we have been working hard to promote the TF and re-establish the MG brand in the UK marketplace. Whilst we do have a lot of interest from overseas, at present the UK market is where our focus lies.”

The launches of the MG TF 135 and the 85th Anniversary models will help to consolidate SAIC-owned MG UK’s Longbridge operation, although weekly production figures have not been disclosed. The TF 135 launch has provided the first entry-level vehicle produced at Longbridge for UK dealers since Nanjing bought the assets of MG Rover for £53 million in July 2005.

The MG marque was originally developed from Morris models by Cecil Kimber, Manager of the Morris Garage in Oxford, with the cars taking the initials from the premises. Since 1929 a string of MG sports cars and sporting saloons have made the marque world-famous.

[Source: Birmingham Post]

MG UK MG TF 135, MG TF 85th Anniversary, MG TF LE 500, Peter Brooking

Clive Goldthorp

AROnline’s regular readers might recall from our MG UK: The next phase of the New Journey? story back in mid-April that production of the standard MG TF 135 was about to commence and that an informed and reliable source had told us that a decision on whether the MG 6 would be built at Longbridge was expected ‘within the next couple of months.’

The standard TF 135s have recently reached MG Dealers and AROnline  understands from several of their representatives that MG Motor UK Limited will shortly be launching a reportedly competitve and flexible PCP Scheme which will be promoted via a national marketing campaign – the spend on the latter will, though, probably reflect the TF 135’s anticipated production volumes. A number of the MG Dealers contacted by AROnline this week reckon that the TF 135 has already generated more showroom interest than the TF LE500 did initially and attribute that to the newer version’s more competive price of £13,511 otr (or £11,511 otr under HMG’s Scrappage Scheme).

A number of the MG Dealers contacted by AROnline this week reckon that the TF 135 has already generated more showroom interest than the TF LE500 did initially and attribute that to the newer version’s more competive price of £13,511 otr (or £11,511 otr under HMG’s Scrappage Scheme).

However, whilst some MG Dealers have greeted the arrival of the TF 135 with a degree of cautious optimism, the medium to long-term future of the Longbridge factory as a production centre must remain in doubt until SAIC Motor decides whether or not to produce the MG 6 and, presumably, other models there.

The well-placed source contacted by AROnline back in April now tells us that the decision about MG 6 production has been delayed – the business case for that apparently depends upon the sourcing of a diesel engine which has characteristics compatible with the European market’s requirements. We had understood that diesel engines from General Motors Europe, SsangYong Motor and Volkswagen Group were all under consideration so the need for the diesel engine to be fit for purpose in Europe rather implies that SAIC Motor may now be evaluating the SsangYong Motor option more closely.

Our contact also disclosed that SAIC Motor was giving ’serious consideration’ to adopting General Motors’ new Epsilon II platform for the MG 7/Roewe 750 replacements. The Epsilon II platform currently underpins both General Motors Europe’s D-segment Opel/Vauxhall Insignia and Shanghai General Motors’ Chinese version of the Buick Regal. However, we understand that the MG 7/Roewe 750 replacements will be slightly larger than their predecessors and so compete against E-segment contenders such as the Audi A6, BMW 5-Series, Jaguar XF and Mercedes-Benz E-Class in at least terms of size if not price. The forthcoming new E-segment MY10 Saab 9-5 uses a long wheelbase variant of Epsilon II so we guess that may be the version under consideration by SAIC Motor.  A recent report on English-language Chinese Automotive Industry website Gasgoo.com suggesting that SAIC Motor was negotiating such a Platform Sharing Agreement with General Motors may, therefore, have some basis in fact… See: China Watch: SAIC may buy Opel Insignia platform to build new Roewe.

SMTC UK, which has global responsibility for the design and styling of all future MG models, would, no doubt, take the lead in the development of any successors to the MG 7 and the MG TF. However, we understand that work on the latter Model Programme has been halted since the end of 2008 because of the continuing economic rescession affecting what would be the car’s key markets of North America and Western Europe.

SAIC Motor clearly needs to be satisfied that any medium to long-term plans for Longbridge are supported by a robust business case and the task of validating that business case cannot have been made any easier by last year’s sudden and largely unforseen economic downturn. However, until MG 6s are rolling off the production line and work on the TF replacement has resumed, Longbridge will, in effect, be in a state of limbo.

AROnline, though, maintains that a TF replacement would play a vital role in re-establishing the MG marque’s credibility in North America and Western Europe. Georg Kacher, CAR Magazine’s well-connected European Editor, recently reported that Volkswagen plans to launch a production version of the Concept BlueSport shown at last January’s North American International Auto Show in early 2012. Volkswagen must, therefore, reckon that there will be sufficient global demand for a fuel-efficient, mid-engined, two-seater roadster by then so the business case for, say, a £18,000 to £22,000 TF replacement should be equally convincing…

SAIC Motor clearly needs to be satisfied that any medium to long-term plans for Longbridge are supported by a robust business case and the task of validating that business case cannot have been made any easier by last year’s sudden and largely unforseen economic downturn. However, until MG 6s are rolling off the production line and work on the TF replacement has resumed, Longbridge will, in effect, be in a state of limbo.

MG UK Longbridge, MG 6, MG TF 135, SMTC UK