China’s largest automobile producer SAIC Motor says it’ll construct its first manufacturing unit in Europe, after gross sales of its automobiles on the continent jumped.

The state-controlled firm – which owns the enduring MG model – says the brand new plant will produce electrical automobiles.

Nonetheless, a spokesperson informed media that SAIC has not but determined whether or not MG fashions could be made on the web site.

MG, which has roots relationship again over a century, was made within the UK till manufacturing was moved to China in 2016.

On Thursday, an SAIC spokesperson mentioned that the agency was nonetheless within the strategy of securing a web site in Europe and finalising different particulars concerning the mission.

“Now we have many manufacturers together with MG, IM and Maxus. We’re nonetheless deciding which might be constructed on the manufacturing unit,” the spokesperson added.

Gross sales of its automobiles exterior China surged by 40% within the first three months of the 12 months, in keeping with SAIC.

The MG model accounted for almost all of abroad gross sales, because the variety of the vehicles offered in Europe greater than doubled in the identical interval, the corporate mentioned.

The most recent announcement comes nearly seven years after SAIC halted MG assembling on the Longbridge plant in Birmingham.

In 2016, MG mentioned meeting within the UK was now not “required” and that vehicles would arrive within the nation “absolutely constructed (and) prepared for distribution”.

The Longbridge plant constructed vehicles together with MG and the unique Mini. It was arrange in 1906 and survived World Wars One and Two.

Within the years that adopted, the positioning fought off post-war financial melancholy and the emergence of the motor business overseas.

It additionally recovered from strike motion, mergers, takeovers and drops in its share worth.

Manufacturing on the plant was halted after MG Rover collapsed in 2005. The model was ultimately purchased by SAIC.

In 2011, the MG6 was launched. It was the primary MG automobile in 16 years to be assembled at Longbridge.

The five-seater car was designed within the UK however its elements have been made in China.

Chinese language carmakers – together with SAIC, Geely and Nice Wall – have seen their market shares develop in recent times.

Exports from China have been boosted by the demand for electrical automobiles and gross sales to Russia as many Western nations imposed sanctions on Moscow after the invasion of Ukraine.

China exported greater than one million automobiles within the first three months of this 12 months, official figures present. Because of this it overtook Japan because the world’s greatest exporter of vehicles.

In addition to its manufacturing vegetation in China, SAIC additionally has manufacturing amenities in Thailand, Indonesia, India and Pakistan.

The Chinese language agency, which has joint ventures with German motor large Volkswagen and US automobile maker Basic Motors, offered 5.3 million automobiles globally final 12 months.

Europe was its largest abroad market with greater than 100,000 automobiles offered, in keeping with SAIC.