The news that MG is to invest in new models for assembly at Longbridge is welcome news not just for the company but for the Midlands economy as a whole.
New jobs, secure investment and the continuation of a motoring heritage stretching back more than 80 years is an enticing proposition. But sentiment alone will not be enough to guarantee the future success of the company.
When it does come to launch its new products on the market the rejoicing at the brand’s rejuvenation could be short lived because the company is likely to face some stiff competition in the various sectors it has chosen to compete in.
The first model will be a European variant of the Roewe 550, which will be equivalent in size to a Vauxhall Vectra.
The 550, which has been designed and engineered by MG parent Shanghai Automotive Industry Corporation at its Leamington Spa-based technical centre, was unveiled to the public at the Beijing Motor Show earlier this year and has been well received.
China’s emerging middle classes are increasingly becoming more affluent and desire a status symbol to go with it. The initial success of the Roewe 750, based on the old Rover 75, suggests that the car will find a ready market in China.