The MG brand may adjust its European market strategy due to plans for launching local production. The company is considering building its own plant in Europe, which would reduce its reliance on Chinese supplies but could also lead to higher car prices.

Currently, MG is rapidly increasing sales in Europe and the UK thanks to its affordable models. This has been possible because production takes place at parent company SAIC's factories in China, where costs are significantly lower than in Europe. However, the company is moving closer to a decision about starting production in Europe. According to MG Europe head William Wang, local production will inevitably increase vehicle costs, forcing the brand to change its positioning approach.

MG management believes that in the future, the company should compete not just on price but also on brand value, technology, and vehicle equipment.

The exact location for the factory hasn't been finalized yet. The company is evaluating several European Union countries. Spain is among the most likely options, as are Eastern European countries including Hungary. The UK also remains a possibility, though it's considered less probable. If the project goes ahead, production could begin as early as next year. Production at the European plant would focus primarily on electric vehicles.

One technology MG plans to use in future models could be new-type batteries with semi-solid electrolytes. Such batteries are already used in the new MG 4 Urban electric car and offer improved safety and stable performance in low temperatures.

The company is also considering implementing more advanced suspension systems and other technologies that were previously reserved for premium models.

Despite local production plans, MG intends to maintain its global supply chain and continue producing some models in China. According to brand management, combining local production with international supply will help maintain a balance between technological sophistication and affordable pricing.