MG No Longer Available in South Africa - MG-Rover.org Forums
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post #1 of 26 (permalink) Old 22-01-2017, 11:57 Thread Starter
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MG No Longer Available in South Africa

The story is almost a year old but is news to me.

MG cars no longer available in SA | IOL


MG cars and Maxus commercial vehicles will no longer be available in South Africa after local importer Combined Motor Holdings (CMH) pulled the plug on the brands.

MG is currently owned by Chinese carmaker SAIC, which resurrected the historic British brand after MG Rover declared bankruptcy in 2005. It continues to produce a full range of products in China, but they will no longer be imported to SA as CMH believes the weakness of the rand makes it unfeasible.


In an interview with IOL's sister publication Business Report, CMH chief executive Jeb McIntosh said that the last units imported into the country had already been sold and that the company would continue to support existing owners as far as parts supply, warranty and service back-up are concerned.


MG marketed the MG3 compact hatchback and MG6 hatchback and sedan ranges in South Africa, with the 1.5-litre MG3 having retailed at between R159 900 and R210 000 and the MG6 1.8-litre turbo having sold in the R249 900 - R309 900 range. Maxus sold the V80 van and drop-side range for between R299 000 and R410 000.


The currency would not have allowed the company to sustain these prices, with McIntosh predicting that SA vehicle prices will rise by between 12 percent and 15 percent this year.


It is likely that the currency and consequent pricing woes were simply the final nail in the coffin of a line-up that was hardly in great demand to start with although actual sales figured were not provided.


As far as we're concerned it's also a symptom of a market that has simply become overly fragmented, with too many vehicle brands competing for what is, by global standards, a rather small pie.


For what it's worth, we would prefer to remember the MG brand for what it was in its heyday last century.
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post #2 of 26 (permalink) Old 23-01-2017, 13:37
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OH MY GOD. Can admins just delete this **** before entering another worthless discussion?

Can you dig up something older and not so actual?
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post #3 of 26 (permalink) Old 23-01-2017, 15:20
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I didn't know they were even in SA.
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post #4 of 26 (permalink) Old 23-01-2017, 19:15 Thread Starter
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Originally Posted by Mirtininkas View Post
OH MY GOD. Can admins just delete this **** before entering another worthless discussion?

Can you dig up something older and not so actual?
I imagine free speech must be an unpleasant and unwelcome novelty to some who live in an Ex-Soviet state.
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post #5 of 26 (permalink) Old 24-01-2017, 05:43
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I would like you to remind, that Lithuania was captured in 1940 by Soviet Union but we were THAT country, who destroyed Soviet Union from the inside (We were first who declared independence in 1990).

I think we have more rights and free speech is welcome here, but we have so much propaganda from the East, so we know how to detect where's the truth or lies. What are you doing this this forum is only creating negative threads, trying to find negative in positive things, updating dead/old threads. You are just creating negative environment around SAIC MG and scare potential MG buyers.
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post #6 of 26 (permalink) Old 24-01-2017, 08:40
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Whilst I agree that there are some who do deliberately try to stir up negativity surrounding MG, I think you are being unfair with regard to this thread. The story is something I was not previously aware of (or, if I had been aware, I have since forgotten about it), and it appears that I am not alone. It is a story of interest, and I think it would be just as undesirable to ignore stories because they are negative as it would be to ignore the positives.

There is also the not insignificant matter that MG Motor and SAIC themselves seem pretty good at making negative news without any outside assistance

South Africa was a pretty miniscule market even back in the MG Rover days - a far cry from the days when British Leyland had a car manufacturing plant there. There is a lot of competition in a relatively small market, and there is no good reason for the importer to persist with an unprofitable operation. It also read to me as though it was a decision taken by the importer, rather than one foisted on them by SAIC. MG appears to be a weak seller in most of its export markets, and I can foresee importers in other countries taking a similar decision. It will then be down to SAIC to find a new importer if the wish to maintain a prescence in such a market.
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post #7 of 26 (permalink) Old 24-01-2017, 09:55
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As I outlined in another thread, there's not very much for us to talk about. I listed plenty of potential articles that we could be discussing if SAIC and the motoring press engaged more.
Guess the december 2016 registrations.
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post #8 of 26 (permalink) Old 25-01-2017, 14:01 Thread Starter
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Whilst I agree that there are some who do deliberately try to stir up negativity surrounding MG, I think you are being unfair with regard to this thread. The story is something I was not previously aware of (or, if I had been aware, I have since forgotten about it), and it appears that I am not alone. It is a story of interest, and I think it would be just as undesirable to ignore stories because they are negative as it would be to ignore the positives.

There is also the not insignificant matter that MG Motor and SAIC themselves seem pretty good at making negative news without any outside assistance

South Africa was a pretty miniscule market even back in the MG Rover days - a far cry from the days when British Leyland had a car manufacturing plant there. There is a lot of competition in a relatively small market, and there is no good reason for the importer to persist with an unprofitable operation. It also read to me as though it was a decision taken by the importer, rather than one foisted on them by SAIC. MG appears to be a weak seller in most of its export markets, and I can foresee importers in other countries taking a similar decision. It will then be down to SAIC to find a new importer if the wish to maintain a prescence in such a market.
They re-entered the South African market in 2011 according to this article. - MG re-enters South Africa - CARmag.co.za

Quote:
Six years after MG went bankrupt, the brand is set to return to the South African market with the official unveiling of its new MG6 five-seat liftback set for the Johannesburg International Motor Show in October.
MG is currently owned by Chinese auto giant SAIC (Shanghai Automobile Industry Corporation) and its South African activities will fall under the auspices of Combined Motor Holdings (CMH).

For the last six years, the brand’s TF roadster has been available in some European markets, but the MG6 heralds the first new model for the brand since having been rescued from bankruptcy by Nanjing Automobile (later to be incorporated into SAIC) and the start of what MG South Africa’s COO, Vernon Beck, describes as “a massive expansion strategy” for the historic British brand.
“The MG6 is the first model that we will be bringing to South Africa,” Beck confirmed, “but there are a few more models currently under development.” He could not yet state any specific plans, but a new TF should also form part of the range.

Reports have suggested the development of a large saloon, in the Rover mould, as well as a few smaller hatchbacks. “Undoubtedly, the focus for MG would be to produce volume products, but it is clear that SAIC will try to remain true to MG’s heritage, which includes sporty vehicles,” Beck continued. Production of the SA-destined MG6 will take place in China, but the car will also be produced in CKD (complete knockdown)-form at MG’s headquarters in Longbridge, Britain. Most of the 300 engineers who worked on the development of the MG6 are also previous MG employees and the company is in the process of investing in a new engineering and new-product-development centre in Britain.

The first batch of MG6s will be powered by a 118 kW 1,8-litre turbopetrol engine, but Beck has confirmed that a few other drivetrains are now in final production, including a turbodiesel. And, apart from the MG6 and other engine options, CMH has plans to introduce one other model to its local line-up soon.
“Our preference would be for a strong local dealer presence,” Beck said. The company plans to sell the MG6 through 15 dealers nationwide, with roughly 40 per cent of these falling outside of the CMH stable. “We will require clear brand separation, especially since we will be launching with such a narrow product line-up. And we have clear plans to expand the brand’s presence and offering in the local market,” he continued.

The cars will be sold with full factory-backed warranties and CMH are currently looking at various motor- and service plan options.
Further details, including product specification and pricing, will only be available closer to the car’s official launch in October.
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post #9 of 26 (permalink) Old 26-01-2017, 12:56
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They re-entered the South African market in 2011 according to this article. - MG re-enters South Africa - CARmag.co.za
So available for five years from 2011 to 2016. They gave the brand a fair crack of the whip.
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post #10 of 26 (permalink) Old 27-01-2017, 21:27
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The biggest problem for dealers and importers is the range I guess, although most of the other countries you can buy them in have more models and bigger ranges than the UK.

But with just 2 models as was the 3 and 6 with dealer margins being so low then unless they are selling enough then it is hard to keep a dealership going, there are a few that are successful and I guess most of them offer other brands as well.

The dealer I got my 3 from has given up the MG franchise and now only sells Suzukis. His words were the profit margin for the dealer on the 3 were so low he could not continue amongst other things but I won't go into too much detail about what he said as I don't think that is fair on him or MG Motor UK.

Had dealers had a range of 4 or 5 different vehicles by now with more options and engines I honestly think it would be a very different story.

Although on a positive note it does look like they learnt from the 6, again learnt from the 3 and now the GS and now the forthcoming compact SUV, so I do think they are slowly gaining ground and getting better with every new release, it's just a shame it takes too long at the moment to get more models and engines into the range especially.

In comparison to my 3 the Corsa hire car I had was a 1398cc engine with 88bhp in a car that was extremely lethargic. My 3 is 1498 so 100cc bigger with an extra 18bhp over the Corsa which really does show compared to the Corsa in real life driving.
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post #11 of 26 (permalink) Old 01-02-2017, 15:51
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It's strange how they are so hit and miss in certain countries. The SAIC LDV range is selling very well in Ireland and is very rugged by all accounts.
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post #12 of 26 (permalink) Old 01-02-2017, 17:29
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It's strange how they are so hit and miss in certain countries. The SAIC LDV range is selling very well in Ireland and is very rugged by all accounts.
I suspect it depends on the needs of the market and how much promotion the concessionaire does.
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post #13 of 26 (permalink) Old 02-02-2017, 17:38
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The Irish market has always gone for odd stuff that is good value, even if it is perceived to be old and dated.
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post #14 of 26 (permalink) Old 02-02-2017, 18:25
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The Irish market has always gone for odd stuff that is good value, even if it is perceived to be old and dated.
Prime Dacia and MG territory then?
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post #15 of 26 (permalink) Old 02-02-2017, 18:26
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Dacia, yes. MG would be laughed off of the docks. They also expect funny things like aftersales, parts supply and a dealer network.
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post #16 of 26 (permalink) Old 02-02-2017, 18:33
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Prime Dacia and MG territory then?
Haven't MG recently abandoned their plans to sell in the rest of the EU (including Ireland)?
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post #17 of 26 (permalink) Old 03-02-2017, 00:01 Thread Starter
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Stopped pretending would be more accurate.
If they can't sell them in Africa, what possible chance have they in Germany, France and Italy?
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post #18 of 26 (permalink) Old 03-02-2017, 06:43
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They can't even sell them in Britain.
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post #19 of 26 (permalink) Old 03-02-2017, 19:09
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Well, to be fair, they can sell them. Just not as successfully as we would like.
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post #20 of 26 (permalink) Old 06-02-2017, 17:37
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The Irish market has always gone for odd stuff that is good value, even if it is perceived to be old and dated.
It's a market where I always see some odd stuff. I spend a lot of time there with work. They love a good small saloon here so I could see the MG6 Magnette do well here. They seem to love the Dacia stuff. As someone else pointed out however they expect a high level of after care but there still seems to be a lot of small local garages. I suspect they go the extra length to look after customers. I can't say I've had much experience myself apart from buying new tyres over here.
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