MG Rover has revealed that it is in discussions with the Polish government over taking over the Daewoo FSO plant in Warsaw along with vehicle distribution operations.

The scope of the discussions includes the continued production of models currently manufactured at the Zeran plant in Warsaw plus local manufacture of MG Rover vehicles and engines, the company said in a statement.

“This would give MG Rover representation in the region, in order to develop its presence,” the statement added.

The plant currently produces Daewoo’s Matiz, Nubira and Lanos models plus the Fiat-based Polonez.

MG Rover says it has had exclusive discussions with the government over its proposals but, although several meetings have taken place, no formal decisions have yet been taken.

Company officials refused to reveal any further details of the proposed deal.

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