
25 March 2002: MG Rover is establishing a joint venture with China Brilliance Industrial Holdings under which they will design and develop new ranges of medium and small cars, to be built in both the UK and China.
MG Rover will provide technical support and assistance in order to establish the necessary manufacturing processes and systems in China. This will extend to the establishment of a joint research and development centre there.
The Rover TCV - Tourer Concept Vehicle - unveiled at the Geneva Motor Show provided a hint towards the styling of the new medium-sized cars to replace Rover's current 45 models.
News of the deal between MG Rover and Brilliance comes only days after BMW announced it was in joint venture talks with the Chinese group about producing BMW cars there.
China Brilliance is currently best-known for building minibuses, but is keen to establish itself as a carmaker in the fast-growing Chinese market.
Vehicles created by the joint venture will be sold by China Brilliance in its domestic market and the majority of Asia and Africa.
MG Rover will have exclusive rights to sell the vehicles under its brands in all other markets, although the partners may combine their efforts if they decide to tackle the US market.
A new joint venture company will be created, with ownership share 50/50 between MG Rover and CBIH.