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MG to Build First EU Factory in Galicia, Spain

The €200 million plant is intended to localize electric-vehicle production so MG can avoid recent EU import duties.

Overview

  • SAIC-owned MG has selected a site between Ferrol and As Pontes in Galicia for its first European Union factory with an initial investment of about €200 million.
  • The plant is planned to open in phases and reach up to 120,000 vehicles a year at full capacity, with the first production targeted for 2028.
  • Project planners say the site will host research and development, advanced manufacturing, core component supply and intelligent logistics to boost local sourcing.
  • The development is expected to create roughly 2,000–2,300 jobs in the region but remains conditional on Spain’s central government granting foreign direct investment approval.
  • The move reflects a broader shift by Chinese automakers to build inside the EU to avoid steep anti-subsidy and import duties and to strengthen their competitive position in European markets.