Particle.news
Download on the App Store

MG Plans First EU Factory in Ferrol, Spain

Local production is meant to reduce steep EU import duties on Chinese electric cars.

Overview

  • MG Motor, part of China’s SAIC, has confirmed it will build its first European factory in Ferrol, Galicia, as a two‑phase project.
  • The company says the €200 million investment will open in 2028, create about 2,000 jobs and target an annual output of up to 120,000 vehicles after phase two.
  • SAIC and MG frame the plant as part of an “in Europe, for Europe” strategy aimed at avoiding high EU tariffs that currently hit the group’s EVs with a reported 35.3% special duty plus a 10% base tariff.
  • MG has not announced which models or powertrains will be built in Ferrol and company statements make clear those decisions remain open and could change before production starts.
  • The Ferrol plan follows a wider trend of Chinese automakers locating European plants in Spain and elsewhere, a shift that could rework regional supply chains and shipping routes serving markets such as the UK.