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Last Updated: Thursday, 16 February 2006, 20:38 GMT
Talks to revive MG car production
MG Rover Longbridge plant
Rover was sold to Nanjing Automobile in July last year
A UK-led team is in talks over the possible revival of production of MG sports cars away from the old Rover site at Longbridge, West Midlands.

The Project Kimber consortium, led by David James, made an unsuccessful bid for the MG Rover group after the company collapsed last year.

It lost out to Chinese group Nanjing Automotive (NAC) who bought the company's assets for about 50m ($86m).

Locations in Coventry, south Wales and eastern Germany are being considered.

Subsidy plea

Project Kimber said it had been in talks with NAC since the end of last year, and now wants the government to fast-track an evaluation of potential grants to support the Coventry site and keep production in the West Midlands.

The team said it was looking at a possible assembly plant in a former Dunlop factory in Coventry, which could be an alternative to sites already identified in south Wales and eastern Germany which are eligible for state support under EU rules.

Earlier this month, NAC vice-president Wang Hongbiao said the company was hopeful of restarting MG production at Longbridge.

NAC's commitment to the site was "like a marriage", he said.

"We have never considered production anywhere else but Longbridge."


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