Report: SAIC Set To Establish MG Plant In Egypt

SAIC Motor looks set to establish a new plant for its MG brand in Egypt, and it's poised to better position the brand for both Europe and Africa.

Chinese automaking group SAIC Motor looks set to expand its MG brand further as reports have surfaced indicating the firm’s plans to establish a new plant in Egypt. The firm plans to have the facility up and running by the second quarter (Q2) of 2026 too.

The effort will see SAIC better position the MG brand to both the European and African markets. At the same time, this will also allow the brand to reduce its reliance of Chinese manufacturing, which is where the bulk of its vehicles are produced and built.

SAIC Motor inked an investment agreement with Egypt's Al Mansour Automotive Group worth US$135 million towards the establishment of the new MG plant.

Late last week, both SAIC Motor and Egypt’s Al Mansour Automotive Group inked an investment agreement worth US$135 million (approx. RM604.56 million) towards the establishment of the new plant mentioned.

The agreement also sees Mansour Mobility & Manufacturing (MMM), a subsidiary of Mansour Group, sign a land lease contract with Egypt’s Public Authority of Land and Dry Ports to plan and construct a modern automobile manufacturing plant in the newly built 6th of October Industrial Park.

All-electric MG4 hatch (left) and current pre-facelift version of the MG5 saloon (right).

Once operational by Q2 2025, the new MG plant in Egypt will first produce the next-gen MG5 GT model pictured.

This new plant is also sizeable as it will house an 8,000 square metre body shop, 12,000 suare metre paint shop, 10,000 square metre assembly shop, as well as supporting facilities and administrative office building, not forgetting a 5,000 square metre closed warehouse too.

Once operational, this new plant have an annual production capacity of 50,000 units in its initial phase. Plans are in place to double this to 100,000 units in its second phase, and the latter includes plans to achieve a localisation rate surpassing 45%, though no timelines for either were detailed.

Initially, MG’s new Egypt plant will also kick off with production of the brand’s next generation MG5 fastback saloon - also known as the MG5 GT . More SUVs, as well as New Energy Vehicles (NEVs) from the brand’s line-up are set to follow suit after.

Source: CarNewsChina