Chinese Carmaker SAIC's Bold Move in Spain Amid Security Concerns

Spain's Defence Ministry is set to approve SAIC's plan to build a car factory in Galicia, despite concerns about security risks near a naval base. The plant will produce MG cars from 2028, but Spanish intelligence has raised espionage concerns due to its proximity to a key naval port.

The Spanish Defence Ministry has confirmed its intention to approve the state-owned Chinese carmaker SAIC's proposal for a new car factory in Galicia, despite reports of potential security risks given its proximity to a crucial naval base.

The planned facility aims to construct up to 120,000 vehicles annually for the MG brand, starting operations in 2028. However, reports from Spanish newspapers have highlighted concerns from intelligence services regarding potential espionage, due to the plant's location near Ferrol, an important NATO-affiliated port.

While local officials express worries about sensitive naval information potentially being compromised, the Defence Ministry has indicated no security issues and is negotiating terms with SAIC, suggesting approval rests with the Strategic Investments Committee.