Does the new wave inevitably displace the old?

“As a long-standing MG dealer who has weathered the ups and downs of the industry, I was finally thrilled by the arrival of the new MG4. In July, during General Manager Chen Cui's market analysis and competitive product research session in Nanjing, I found myself wide awake and deeply moved in the afternoon—a rarity. Had such a capable general manager taken the helm earlier, would we have endured so much hardship over the past two years? I sincerely hope the OEM can capitalize on this momentum and continue to roll out new products. We firmly believe that SAIC possesses both the financial resources and technological prowess; there's no reason they shouldn't achieve remarkable sales!”

This comment was posted at the end of the article “Several MG Dealers Reveal Current Dilemmas, and the Official Provides a Formal Response,” published by Car Circle Chronicles on its WeChat Official Account on September 10, 2025.

From 2020 to the present, MG has seen four general managers come and go: Zhang Liang, Lu Jiajun, Zhou Xin, and Chen Cui. Some struggled to attract C-end users with their pricing strategies, while others departed before fully demonstrating their capabilities. Objective data reveals that it wasn't until Chen Cui's tenure that MG witnessed a best-selling model and a significant surge in domestic sales.

Admittedly, Chen Cui's current success also owes a degree to fortune. Nevertheless, it's undeniable that over the past year, his passion, drive, and more pragmatic strategies have added a commendable chapter to his professional resume. However, MG dealers have long been grappling with losses, and numerous challenges still lie ahead for this young leader in his quest to turn the tide.

Daring to Forge Ahead

“From the time I became an MG dealer in 2021 until I closed my store in 2025, most dealerships in Hubei Province, with the exception of a few cities, were unprofitable. The two investors behind Wuhan Xinyongda sold the store to professional managers. MG stores operated by Jiuding Group and Sanhuan Group also performed averagely during that period. Now, the entire group's automotive sales are struggling,” Li Zeping, a former MG investor, shared with Car Circle Chronicles.

From Li Zeping's vantage point, the previous iteration of the MG4 was priced at over 120,000 yuan, a premium positioning that led to sluggish sales among dealers. In contrast, the current MG4 starts at just over 60,000 yuan. At this price point, combined with its specifications and size, it faces competition from no more than five other models, making it a true hit in the consumer market.

Having a competitively priced flagship model and a genuine best-seller marks one of the major transformations since this post-90s brand president took the reins at MG.

On June 30, 2025, at the summer new car launch event dubbed “MG Holiday Summer Fun,” Chen Cui, the newly appointed general manager of the MG brand, made his grand entrance. After outlining MG's future strategy, he boldly declared to the media, “Daring to forge ahead is a prerequisite for success. If you spot market opportunities but hesitate to seize them, victory will elude you.”

Prior to joining MG, Chen Cui served as the Senior Director of ID Marketing for the Volkswagen brand at SAIC Volkswagen. Initially, he grappled with the ID series' mediocre market performance. Subsequently, Chen Cui decisively shifted the strategic focus to “youthfulness” and “localization,” driving the terminal price of the ID.3 down to the 120,000-150,000 yuan range, swiftly transforming it into a hit.

This individual from SAIC Volkswagen propelled the ID series from a low ebb to annual sales of 130,000 units, infusing MG with his drive and a more youthful, action-oriented approach. Following the launch of the MG4 last year, some dealers transitioned from past price-cutting to clear inventory to covertly raising prices. Shortly thereafter, Chen Cui dispatched a letter to dealers titled “A Letter to All MG Brand Dealer Partners,” which, while boosting confidence by revealing MG4 sales data, also called out the behavior of individual dealers secretly raising prices and promptly established a supervision team to address the issue.

Breaking Through Barriers

“Wang Yang adopted a conservative approach, capable of making relatively clear judgments about existing problems and potential risks, and honestly informing dealers. Zhang Liang's future plans sounded logically sound but were often challenging to implement. Zhou Xin barely launched any new models during his tenure, leaving him unable to fully execute his pricing, marketing plans, and channel construction,” several MG dealers evaluated the previous general managers in this manner.

For an extended period, MG has grappled with greater success abroad than at home, with lackluster domestic sales and even a marginalized status. Sales data reveals that under Chen Cui's leadership, MG has indeed witnessed improvements, with 137,000 units sold domestically in 2025, marking a 59% year-on-year increase. Sales from January to July this year have already reached 113,000 units. Data from Dongchedi indicates that in the past six months, the MG4 has sold a total of 73,900 units, with an average monthly sales volume exceeding 16,000 units, ranking 17th among all automotive categories. After the launch of the new MG4, Li Zeping learned that a secondary store in Wuhan, with only one salesperson remaining, still managed to sell seventeen or eighteen cars in a month. “I never achieved such sales figures in a month when I ran a primary store,” he remarked.

Zhou Xin, who had overseen the success of the Wuling Hongguang MINI EV, undoubtedly boasted a stellar reputation in the automotive circle. Upon arriving at MG, Zhou Xin also displayed a desire to make a significant impact. He once reorganized the business division, split the GTM, streamlined channels, and proposed a 700 million yuan subsidy to focus on expanding new car sales outlets, along with a 500 million yuan entrepreneurial plan for professional managers, primarily to address the issue of “having nowhere to buy cars.”

In reality, Chen Cui's era has indeed better realized the goals set by his predecessors. The number of MG dealers has expanded from less than 300 to 440, while 1,000 new “SAIC Auto Care” after-sales service outlets have been added to alleviate the inconvenience of MG's repair and maintenance services.

“Zhou Xin didn't seem to accomplish much at MG, first because he lacked new products, second because he lacked pricing power, and third because he came from Wuling and lacked a foundation at SAIC. Chen Cui is different; after he arrived, prices dropped, and resources were allocated appropriately,” Li Zeping believed.

Implementation Challenges?

It's challenging to determine how much of a company's growth during an individual's tenure is attributable to luck or ability. However, after this new generation, including Chen Cui, assumed mid-to-high-level positions at MG, they have not shied away from sensitive issues such as inventory pressure and collusion for personal gain. Instead, they have demonstrated an open attitude and provided positive responses to the media.

Li Zeping, who left the MG network before Chen Cui took over, once experienced selling only 5 cars in a month while accumulating an inventory backlog of 60 units. Regarding the issue of inventory pressure on dealers, MG told Car Circle Chronicles, “MG will continue to intensify its focus on and research into dealer operating conditions, implement more scientific and flexible inventory management strategies, and ensure a reasonable car delivery cycle for customers without imposing excessive pressure on dealers.”

Li Zeping, who joined the MG network in 2021, complained about the exorbitant renovation costs at the time: there were too many stringent requirements. A signboard cost 400,000 yuan, and a chair that would cost about 110 yuan elsewhere ended up costing several times more. In total, his store's renovation cost 2.3 million yuan.

In response, MG told Car Circle Chronicles, “We will continue to heed feedback from our dealer partners, continuously optimize store construction and operational standards, and actively promote cost optimization and efficiency improvements while maintaining brand consistency.”

The new products offer clear cost-effectiveness, and dealers are faring better. However, in Li Zeping's view, Chen Cui's challenges are far from over. “Most MG cars are still operating at a loss. The MG4 can only ensure decent cash flow for dealers and guarantee the sales consultants' wages, but the profit margin for dealers on this model is not high. MG's future development will still hinge on the performance of models like the MG 07, priced in the tens of thousands of yuan range.”

“Li Zeping” is a pseudonym used in this article.

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