MG Motor overcomes chip shortages, signs with Shanghai New Micro Technology Centre

Car buyers in the Middle East can look forward to access to the increasingly popular MG range in 2022, with the brand confirming it has resumed production at almost full capacity, despite the global chip shortages being experienced by many manufacturers in the automotive industry. The British-born band is one of the only carmakers operating at an almost 100% supply rate.

On an international level, MG Motor’s mother company, SAIC Motor signed a memorandum of understanding with Shanghai New Micro Technology research and development Center in January. SAIC will participate in the Automotive Chip Engineering Center initiated and established by Shanghai New Micro Technology Research and Development Center by way of fund investment. The preparation of the Automotive Chip Engineering Center comprises a pilot test line and a mass manufacture line for automotive-grade chips, to make up for the limitations of automotive chip design companies in process growth and engineering, and to help design companies decrease product costs.

Initial orders from customers across the Middle East at the beginning of 2022 stood at around 5,000 units, but the brand has already supplied 12,000 units, with most orders prebooked. Most of those prebooked cars are MG 5, MG HS and all-new 2022 MG GT models, with the majority going to customers in Saudi Arabia.  Other models, including the MG ZST, MG 6 and the MG RX5, are also free from any supply issues.

Customers continued to buy MG cars in ever-increasing numbers during 2021, with MG continuing its progress among the GCC’s top ten car manufacturers to secure 6th position. The year closed with MG securing an exceptional 3.8 per cent market share and total sales of 41,165 units, a year-on-year rise of 50%, despite the challenging market conditions caused by the global pandemic.

Last year, MG launched two key new models: the 2022 MG GT and a special edition of the brand’s flagship seven-seater SUV – the MG RX8 Black Edition. The MG ZST has also been selling strongly since its regional launch in late 2020.

Tom Lee, Managing Director of MG Motor’s Middle East operations commented, “Through careful planning and organisation, we are able to reassure our customers that we continue to have sufficient supply of models to ensure we can fulfill all orders.  At the same time, our retail partners can push forward with their own business operations as normal, confident that the global chip shortage is having minimal impact on MG’s supply chain. This all comes at the beginning of a year when we plan to further expand our business across the Middle East and North Africa, with products that offer even better features and at even greater value for money.”