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MG Rover News

MG Rover News

MG Rover News

There is nothing earth shattering to report in this area other than some small developments but there is a need to keep you all informed as best we can as the press reports certainly still continue with their wide variances of emphasis in reporting. A recent example was a seminar in Essex highlighting the business opportunities available in Jiangsu province where Nanjing Automobile Corporation is based. Now no MG enthusiast should need any explanation as to why that seemingly distant location has any connection with MG, but for those who do – Nanjing now owns the MG brand. What is more a speaker at this seminar was none other than the Vice President of Nanjing Auto, Mr Wang Qui Jing.

This one fact raised the profile of this seminar as many attendees were from Fleet Street. The reports filed in papers over following days varied in a pattern that could be predicted from the tone of previous reporting. However, it was more interesting to see these as we were present and listened to those words first hand, and quite frankly some of what was written was quite a distortion of what was said and especially the way it was said.

 

More interesting still was that Mr Wang’s same quite clear message, as we perceived it, has been circulated amongst the XPart dealer network, of which the Club’s Workshop is a member, in the form of an open letter. In essence saying nothing that hasn’t already been announced before, but indicating that progress is being made to the reinstatement of car production at Longbridge in the spring of 2007 with remodelled TF and ZT products, to be supported by ZR and ZS models that are manufactured in China.

The Club clearly hasn’t been idle just sitting back and watching what is going on from behind the daily and Sunday paper reports. To this end once a reasonable period had elapsed for Nanjing to get to grips with what they had bought, and obtain a clearer direction in which they were heading, we approached Nanjing representatives, the purpose being to ‘break the ice’ between Nanjing and the Club and open a channel of communication. I was quite frankly surprised to see how quickly not only they were keen to meet but also that the meeting was to be with Mr Wang.

I arrived at Longbridge with mixed emotion on a dry but cold November Monday morning. Anyone familiar with the whole area around the plant will be aware of the bustling nature of the place and the characteristic double parking of employees’ cars outside the main Q gate along Lowhill Lane. Now the relative desolation of the whole area was eerily striking, as were the towering jibs of large mobile cranes resembling machines from War of the Worlds feeding off Powertrain by loading a waiting line of articulated lorries whose queue stretched out of the former Engine manufacturers site.

Q Gate at least had a pair of familiar and friendly faces of the security guys who had no difficulty pointing to empty parking spaces! I was then met by another familiar face, one of the 150 or so people still retained and working with approximately 450 Nanjing personnel, who then took me into the plant. Mr Wang’s office is located off the main office area, which the last time I went in was humming with activity with hundreds of people beavering away. The vast office was just the same with all the desks and equipment still in place, but now with just an occasional head to be seen at desks dotted around accompanied by an eerie level of quiet.

I used to visit Kevin Jones here at one end of this open plan office. Kevin was one person who worked tirelessly to make MG Rover a success, but his efforts were often undermined by his less talented colleagues and superiors. Close to Kevin’s old desk was sitting an affable Chinese gentleman whose English was superb, as was his grasp of many things British. He even alluded to his brush with some of my former colleagues from West Midlands Police on the previous day. He had been driving a Rover 75 which at the time of its registration and preparation for use had acquired an incorrect number plate, fortunately I am pleased to say the matter was sorted quickly and amicably.

The quite lengthy meeting with Mr Wang was both illuminating and very constructive and has opened that channel of communication between both the Club and Nanjing. He is obviously a very astute businessman with a clear understanding of western ways. I must also praise the young lady who was his interpreter, her translation and communication skills were stunningly good.

Mr Wang knows exactly what his company has bought and is absolutely delighted with the purchase. They have every intention of raising the world profile of MG, not just through the reintroduction of the models we are already familiar with, but to develop new models to take the brand further and farther than it has been before. He is under no illusions that the current models have age against them but also sees there is much within that is far from time expired and with untapped areas of development potential.

Clearly he doesn’t see the need or indeed the right of anyone outside the business, particularly the press, to be informed of exactly what they are doing before they are ready to announce it. He is certainly aware of the national interest and press obsession in anything Rover orientated and a wry smile appeared when this subject came up. From a Chinese perspective there is a view that sees public statements as serious and straight issues and something that should be factual and truthful. In other words what is said is an intention to do what is said, and not use public statements for any other manipulative purpose, as does seem to be an element with some of the pre April 2005 Company executive’s statements. As a result we can expect fewer, shorter and more factual statements from the company in the future.

MG enthusiasts will have very many questions and most of these can’t be answered at this time. One aspect though is that they (Nanjing) appreciate the heritage of the MG brand and also appreciate the ‘Britishness’ of it and that is one of the core elements of the brand. Indeed Mr Wang uses the words ‘stylish, lightness, speed, sporting and success’ to describe MG, with a certain and clear belief in the way he projects this.

He went on to indicate that the reintroduction of current models would be just a first step and that development of new models would follow, clearly indicating that the work they have inherited from MG Rover could form the basis for this development. RDX60, the Rover 45 and MG ZS replacement, is actually further advanced than I had previously thought as is development of the MG GT Coupe concept of the MG TF.

He went on to also indicate that the existing MG Rover suppliers formed a very important part of their plans and that they would be looking to buy parts from the existing UK suppliers and that included them supplying parts for the Chinese assembly lines. He also said that over a period of time there would be a shift to more Chinese based supplies, which has an already clear logic in economic terms, but also in respect of import duties into China. This aspect specifically affecting complete vehicles, so mirror production of the MG models being assembled in the UK is to be expected to be seen in China. Indeed if the TF is to be introduced into the Chinese and other markets then the current UK maximum capacity body production rate per annum falls well short of what even reasonable world wide demand could be.

Talking about doing something and actually doing it are two very different things, but one thing I have noted with my limited contact with the Chinese people, which actually goes back to the days of liaising with the visiting national table tennis team. Even though this was back in the regimented days of long grey raincoats over maroon tracksuits with more minders than athletes, but the Chinese may say very little, but what they do say they mean.

MG may be unknown as a brand in China as are sports cars generally, but with the considerable recent changes seen in that country in such a short period who would predict the direction of Chinese consumer demand in the future? With such fast growing economy there’s no reason why they would not come to appreciate the value and attraction of owning an MG like so many others around the world. Look at the perception of the MG brand as extolled by Mr Wang and then transpose this into the Chinese interest in the Chinese Grand Prix in Shanghai and Formula 1 in general. This is certainly not something that has been overlooked by Nanjing.

Outside China, in the traditional MG markets, there remains a justified and deep worry about the MG brand’s future and a natural reluctance, especially in the UK, to look positively at any Chinese built MG. Having put these to Mr Wang he understands the issues, which is one reason why MG production will be based in the UK, but beyond this it is going to be a case of the products speaking for themselves.

This is a watershed time, huge in most eyes, and bigger than at any time in the past and even bigger than the closure of Abingdon. I see a similar time line being drawn as when Abingdon closed, but quite how deep that is to be cut will depend on the quality of future products. In the end it is the consumer who will decide the success of the brand and how significant that time line becomes.

Mr Wang is intent on leading his company and the MG brand back to a positive and profitable future. He has an eye to the past and a respect for MG history but sees a positive future ahead for MG. The Club offers him and his company support in achieving that goal, based on the reinstatement of MG production in the UK and involving as much UK talent and content in all future MGs as possible. He is only too aware of the hurdles he has to overcome and is clearly keen on seeking assistance from a wide range of quarters and listening to others which is a very good sign for the future. We, like everyone else, will have to be patient and see what now actually develops.

Roger Parker