SAIC International Strategy

Shanghai Automotive to help MG Return to United Kingdom

No matter how people comment on foreign cars made in China and China's cars, an established fact that 16 years later, a 87-year-old well-known brand, the new owner will be in Shanghai, China to push the car back to UK .

Sitting on the largest markets in China, international car brand after another moment, this is clearly a major reversal.

Swedish car manufacturer Saab Muller has said this to say: "When the Japanese came, we laughed; When the Korean came, we laughed again; but when the Chinese came, we probably laughing, because they generally coming like the steam roller."

Who is the pioneer?

According to the latest news, Shanghai Automotive's compact-class car in July this year MG6 official launch in the UK.

The launch of MG in the UK for the hatchback and sedan hatchback Saloon version, two versions of a total of 6 models, 1.8T-based push model. Maximum power of the model 118Kw/5500rpm, maximum torque is 215Nom/2500-4500rpm, matching a five-speed manual and five-speed manual transmission.

In terms of price, the current models official guide price of domestic market for the 146,800 -19.28 million, while the models will be launched in the UK because of customs duties and related costs, higher than domestic prices. According to foreign media reports, MG6 minimum price of around £ 15,500 (collectively, $ 25,340), which is equipped with color satellite navigation and reversing camera and advanced temperature control devices such as the luxury version of the price as high as 19 thousand pounds.

The first tickets

Are foreign brands to enter China in the past, there will be a string of worldwide sales, or endorsement of a place. MG6 return to the UK this time, apparently as an endorsement of China sales.

In 2005, the Shanghai Automotive own project in Pudong Jinqiao an ordinary-looking building started. 6 years, Shanghai Automotive's own brand from the B grade, A + grade, A grade, A0-class, and so has covered the entire product line, which six years, sales of SAIC's own brand starting from 10,000 to 90,000 in 2010, this figure increased to 160,000 units, sales of passenger cars in 2011 SAIC goal is over 200,000. Latest data show that the first quarter of this year, overall sales of passenger cars SAIC 4.5 million units, up 22.5% over last year, with an increase of 8% much higher compared to the average automobile market.

MG is Shanghai Automotive, a dual-brand strategy.

December 2007, Shanghai Automotive acquired the MG brand, that is, two years after the Guangzhou Auto Show in December 2009 to launch MG6. The second year in October MG6 MG6 Saloon sedan models listed. The end of March 2011, MG launched the first-class car A0 MG3. 1 month after the Shanghai auto show, MG5 auto show concept out. Only 3 years, Shanghai Automotive effort to operate MG product matrix has begun to take shape.

Inevitably a difficult start

In fact, on the SAIC-South Steam cooperation, the Shanghai motor vehicles have low-volume models launched in the UK plan. Its purpose is through the operation of the product, and further understanding of foreign markets, operational processes, and to specifically develop for overseas the operations and marketing team.

However, MG is not only returning to the UK with flowers and applause, will certainly lead to a variety of questions.

"Car" (Autocar) magazine editor Chas Hallett commented: "Overall a good car, MG brand and have some influence, but I think they will find success very difficult."

This is because the British car market to give MG6 does not optimistic about the external environment. Data show that in April 2011, passenger car registrations in the UK 10 months of consecutive negative growth, and there fell 7.4%, total sales of only 137,700. And last year, the UK passenger car market has maintained a slight positive growth of 1.8%, passenger car registrations to 2,030,800.

For the MG's UK trip will encounter difficulties, executive vice president of SAIC, Shanghai Automotive Chih-Hsin Chen, general manager of passenger cars had a pretty good idea, he made it clear that: "MG6 in the UK, but SAIC own brand in overseas operations, bridgehead in Europe, is to test the water. "

Chih-Hsin Chen believes that SAIC to go the way of globalization, open up the UK market is the only way, since the Shanghai Automotive has been the base received its MG Rover, we should not waste this opportunity.

Shanghai Automotive's chips

The first step in the success of the UK, Shanghai Automotive's biggest bargaining chip is the MG brand's appeal.

In 1910, William Morris founded Morris Garages, referred to as MG. The MG brand is not only the founder of the British automobile industry by the British as one of the founders, but also was awarded the Royal title of Lord Nuffield.

In 1922, Cecil - Kimber into the MG. This has "design talent," said Kimber quickly introduce a power, performance and appearance, and other aspects greatly enhance the new models, and to replace the original with octagonal logo as a sign of MG cars. Several well-known in British history are the MG brand in favor of the Prime Minister, from Harold Wilson to Winston Churchill, as well as tough called the "Iron Lady" Margaret Thatcher.

During 1930-1935, MG sports products to create a leading global technology at the time, with unmatched speed of other vehicles. Even now, after all, the world's fastest speed of the car from the MG product creation.

Until now, MG enthusiasts club remains the world's largest club organization with the best, most fanatical fans. Obviously the first time in 16 years after the return of MG brand may lead to their passion.

However, this year in July of a major reversal is about to start their own brand is no longer going out on paper.