MG Rover Group, with parent company Phoenix Venture Holdings (PVH) has begun a strategic partnership with Shanghai Automotive Industry Corporation (SAIC) to fund the development of models for new markets, including China.

Kevin Howe, group chief executive of PVH, says: “Recently we have had discussions with several companies in China. We are delighted at the prospect of entering into a relationship with such a successful and respected partner, which will see a significant expansion in volumes of current and future products”.

More details of the partnership will be announced after the necessary regulatory approvals have been given.