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Facility Developments

MG invests €200m in first European production facility

Zahra AwanBy Zahra AwanJune 4, 20262 Mins Read
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MG logo on a dark grey vehicle.
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MG has announced that it is to build its first manufacturing facility in Europe in Galicia, Spain, with an investment of €200m (US$233m). The new plant is predicted to create more than 2,000 jobs across Europe and underlines the brand’s ‘In Europe, For Europe’ strategy, the auto maker said. Production is scheduled to begin in 2028, with an annual capacity of up to 120,000 vehicles.

“From technological innovation to the localization of manufacturing and R&D across Europe, supported by a truly global product line-up, MG continues to push the boundaries of what is possible – making advanced technology and sustainable mobility accessible to more people than ever before,” said William Wang, managing director, MG UK and Europe.

The site will integrate vehicle research and development, advanced manufacturing, core component supply and intelligent logistics operations, forming a fully connected, end-to-end industrial ecosystem. This platform will significantly expand localized production and sourcing, strengthening the resilience, responsiveness and agility of MG’s European supply chain.

MG will deepen collaboration with leading European technology partners, research institutions and local suppliers to accelerate innovation across key future-facing domains, including next-generation battery technology, intelligent mobility systems and clean energy solutions.

This announcement comes at a pivotal moment for the European automotive industry, as the EU’s 2035 zero-emission targets continue to accelerate the shift toward electrified mobility.

Wang said, “Through our ‘In Europe, For Europe’ strategy, we are not simply responding to the future of mobility – we are helping define it. By investing in local capabilities, strengthening our European footprint and fostering a more competitive automotive ecosystem, we are accelerating Europe’s journey toward a cleaner, smarter and more sustainable mobility future.”

Related news, AEM to unveil rare-earth-free electric drive system at iVT Expo

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