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MG’s owners are investing 1,000,000,000 euros in a 128,000 square meter solid-state battery factory.

MG’s owners are investing 1,000,000,000 euros in a 128,000 square meter solid-state battery factory.

25/10/2026 14:00

Updated to

25/10/2026 14:00

Construction began in December 2025, and just eight months later, the launch of the first phase of the solid-state battery factory was celebrated. This facility is jointly owned by SAIC, the major Chinese group behind MG, and Qingtao Energy in Kunshan, located near Shanghai. The first phase will be capable of producing 10 GWh of batteries per year.

Behind the plant is Qingtao Power, a company established by SAIC’s components subsidiary HASCO and the Qingtao group, with a total investment of 8 billion yuan, approximately 1.04 billion euros. Its output will primarily serve the group’s electric vehicles. Qingtao’s technology is already used in the MG4 with a semi-solid-state battery, which is available in China and that MG aims to bring to Europe before the end of the year.

From Kunshan to Shanghai

BMW Battery Factory

The division of tasks is clear: battery research and manufacturing take place in Kunshan, while module assembly is done in Shanghai. According to the state-owned company that built the facilities, the complex covers about 128,000 square meters, with clean rooms and warehouses for hazardous chemicals.

SAIC and Qingtao, however, are not starting from scratch. The technology they have developed together is already in production vehicles, though in its semi-solid version, primarily installed in the MG4 and the successful MG 07. In the MG4 with a semi-solid battery, the battery has a capacity of 53.95 kWh, contains only 5% liquid electrolyte, and achieves a range of 530 kilometers on China’s CLTC cycle. It should not be confused with the MG4 Urban, which is being sold in Spain starting this summer.

Qingtao, leader of a still-small sector

Solid State Battery

Qingtao Energy leads the 2026 rankings for China’s solid-state battery industry. According to a report by EVTank published in September, the company plans to have over 55 GWh of annual capacity across all its products. Of this, 6.8 GWh is allocated to solid-state batteries, with 2.5 GWh already in operation, and another 2.5 GWh for semi-solid-state batteries.

It should be noted that a semi-solid-state battery still contains some liquid electrolyte, whereas a solid-state battery uses none at all, and SAIC has not specified what type will come from the new plant. The International Electrotechnical Commission (IEC) approved in August the first international standard for solid-state batteries in electric vehicles, proposed by China, which will establish common testing procedures and requirements.

The Battery Arriving in Europe

MG4 Urban

In our market, MG has already confirmed that its solid-state battery, called SolidCore and developed in partnership with Qingtao, will arrive by the end of 2026 alongside the MG4 Urban, with the rest of the model lineup receiving it starting in 2027. The brand promises charging speeds that are up to 15% faster than with its current LFP batteries in cold weather. This is the same technology that the MG4 has used in China since December 2025, where this version starts at 102,800 yuan, approximately 13,360 euros.

For now, these batteries are a drop in the ocean. According to China Automotive Battery Industry Innovation Alliance (CABIA), from January to September, 576.3 GWh of batteries were installed in electric vehicles in China, a 16.7% increase from the previous year. Lithium iron phosphate (LFP) accounted for 477.2 GWh, while lithium ternary (NCM) accounted for 97.9 GWh, so Kunshan’s annual output of 10 GWh represents less than 2% of what China installed in just nine months.