Senior motor industry sources, quoted in The Times, say Nanjing Automotive and Shanghai Automotive Industry Corporation (SAIC) have agreed an arrangement that will see Nanjing build Rover engines and small cars while SAIC makes the larger Rover 75.
Both firms have been at loggerheads since the bidding war for MG Rover earlier this year. Nanjing finally emerged triumphant and paid £50 million for MG Rover’s assets.
However, SAIC already owned much of MG Rover’s intellectual property rights after buying them earlier in the negotiations.
Now a deal is rumoured to be close and experts predict Rovers could soon be made again in China.
Last week Nanjing began shipping equipment from the former MG Rover plant at Longbridge back to its production base in China.
Nanjing is still in negotiation with its British partner, GB Sports Car Company, about the possibility of restarting production of some cars in the UK.