MG Rover’s desperate fight
for survival has taken a new surprising twist after Proton announced it
had signed a letter of intent to collaborate with the troubled British
carmaker in the future development of vehicle projects.
Following the link-up between the Malaysian and British carmakers, MG Rover might soon have a Proton produced mid-sized model - like the Wira (right) - to replace the ageing Rover 45 (below) |
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It has become common knowledge that Proton has been seeking an
alliance partner for several months, and even recently admitted it had
been in serious talks with a number of OEMs on possible technical joint
venture projects.
Yet with such talks breaking down due to “complications,”
Proton execs were thought to be happy at the prospect of working with
MG Rover, especially as the British company already has an agreement with
another Asian carmaker – India’s Tata Group – that is
responsible for the Indica small car badged as the CityRover in Europe.
MG Rover chiefs see Proton as a good match, not least as it continues
its extensive search to find a gap in the Chinese market following a failed
collaboration venture with the China Brilliance group.
| Rob Oldaker, director of product development, MG Rover, played down
speculative talk, exclusively telling AE: “It’s too early
to say which projects we could collaborate on, but clearly there’s
a company in Proton that is not represented in Europe and hardly represented
in the UK. I think we have some good matches and potentially there
are some good opportunities for both of us to prosper from.” |
Malaysia, like the UK, is one of the world’s few right-hand drive
markets, and so Proton could probably, and relatively easily, offer MG
Rover a cheap mid-sized vehicle the company so desperately needs to replace
its ageing 45/MG ZS model.
Although both Proton and MG Rover refuse to confirm whether such collaboration
work will get the green light, Proton significantly used the Geneva show
to debut its all-new mid-size Wira model, which will be launched this
summer, and could share the same underpinnings as the new Rover 45.
Talking to AE at the Geneva show, Oldaker admitted a new Rover 45 with
Wira underpinnings could not be ruled out. He said: “I wouldn’t
say that that was by any means fixed as an idea. It’s potentially
an idea, but it’s too early to say. They [Proton] are clearly apparent
in the same sectors as we are so there are certain synergies we can profit
from.”
MG Rover might also be able to gain a more upmarket supermini from Proton,
replacing the ill-fated CityRover, which has been slated by critics and
shunned by the market.
The possible deal between the two carmakers could also involve Lotus,
currently owned by Proton, whose reputation as an acclaimed engineering
consultancy firm has remained intact, despite the takeover from the Malaysian
manufacturer.
Oldaker added: We have, from time-to-time, spoken to Lotus about opportunities,
but not in-connection anything to do with Proton.” Though MG Rover’s
director of product development did admit potential work collaboration
with Lotus might come to fruition as a result of the Proton tie-up. “Yes,
I guess the way Lotus is owned, there could be opportunities,” he
said.
MG Rover suffered greatly when TWR Engineering – which at the time
was working on a number of Rover-based models, including the all-important
replacement to the 45 – went bankrupt, indefinitely suspending a
next-generation Rover 45 by at least three-years.
In a separate development, and one source within MG Rover confirmed to
AE that the British carmaker was still interested in taking over Daewoo’s
Polish based plant, with a view to selling cars to East European countries
that are set to join the EU in May
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