26 Sep 2016
Escape from the island
The production line will be stopped at the end of this year, after the owner of the company, a Chinese concern SAIC Motor, decided to move the Assembly of the MG3 Longbridge closer to its headquarters in Shanghai. According to the management of MG such a step due to the need to increase economic efficiency and the desire to centralize the distribution of the finished product. The company denied any connection with the decision by Britain to leave the European Union. According to preliminary estimates, only 25 people losing their jobs.
The factory closed after only five years, after production was resumed in 2011. Then stood up on the conveyor mid-size sedan, the MG6. In many ways it was a marketing move of the new owners, who wanted to convince customers that MG is still British car. The most likely reason for the transfer of production was low sales. Last year was sold only 3,152 cars. It came in Longbridge is ready by 80 percent. 40 employees of the Assembly line was to install the engine with gearbox and lights.
On the one hand, SAIC Motor will now have to pay 10% tax on imports of assembled cars from China instead of 5 per cent, upon delivery of the kits, but on the other she can save money on rent huge land on which the plant is located. Every year it cost the Corporation in the amount of 2.1 million euros.