Vauxhall says that it will not sell MG Motor products in its dealerships

Article by Christian Andrei, on December 17, 2010

Vauxhall has denied that MG Motor products will be sold alongside its own models in the same showroom. Since 2007, GM's Chinese partner SAIC has been the owner of MG.

According to GM's regional boss in China, the company is in discussions with SAIC about the possibility of the classic British brand gaining access to GM's dealer networks in the UK (namely Vauxhall and Chevrolet).

This move is expected to largely benefit SAIC, which wants to expand throughout Europe in 2011 and 2012. If this is done, SAIC would get a significantly wider reach than any roll-out project would achieve, and it will be accomplished much quicker.

Kevin Wale, GM China's president and MD, had said that in an MOU [memorandum of understanding], the carmaker has said that it will discuss the potential for MG to be distributed in the UK. Vauxhall has since come out to clarify these comments.

According to an official Vauxhall statement, SAIC and GM have a significant joint venture in China and that as part of GM and as the UK is GM's fourth largest market, Vauxhall is “pleased to assist its global organization.”

It also stated that Vauxhall Motors' Retail Network Development department is assisting SAIC/MG Motor (through an MOU) with network development to allow MG Motor to create its retail network in the UK.

The official statement mentioned that there are several opportunities that might be considered under the MOU; however, offering MG products in Vauxhall’s dealerships isn’t one of those. [via autonews - sub. required]

Topics: vauxhall, dealer, uk

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