Insider Media Limited

The West Midlands automotive industry is at the “threshold of a new wave of revolutionary products”. That’s the view of John Leech, automotive partner at KPMG in Birmingham, who spoke to Insider. Leech said the production of a new vehicle from car giant MG signalled a “step in the right direction” for the sector. His comments come as Black Country manufacturer Bevan Group unveiled its latest eco van design.

The production of the latest MG comes 16 years since the last model was unveiled and six years after the Longbridge-based MG Rover factory closed its doors.

Leech said the assembly of the new vehicle shows that the West Midlands can still create world-class cars for the main markets.

He said: “We’re now at the threshold of another new wave of revolutionary products in the automotive sector. It’s a kind of revival of a period in the 1980’s, where we had Honda, Toyota and Nissan all setting up over here. It’s definitely not all over for our automotive market – there’s a lot to be optimistic about.

“The sector is vital to the region, and continues to be at the pinnacle of mass engineering over here. It’s been a significant contributor to the local economy, and we’re seeing a big increase in the number of exports.”

The automotive sector was given another boost as Black Country manufacturer Bevan Group revealed its latest green vehicle design. The company employs 110 people over four sites in the region.

Bevan develops light weight, aerodynamic bodies for vehicles. The company worked alongside the region’s manufacturing advisory service MAS-WM to create its new ICON product.

The model was unveiled at the Commercial Vehicle Show at the NEC by Adrian Bailey MP, chairman of the Business, Innovation and Skills Select Committee.

Lee Dimmock, operations director at Bevan, said: “We are looking to develop new products at all times to make sure we stay ahead of the competition and our investment in design and technical expertise means the low carbon marketplace offers an excellent opportunity.

“The ICON is the latest example of this and we believe it has the potential to be a major part of our company’s continuing growth given that it not only offers an impressive payload and cuts fuel bills but it also helps companies reduce their carbon footprint.”

Leech agreed that innovating and creating new products was key to the survival of manufacturers across the region. He said that many automotive companies had begun to look towards outsourcing the production of components to countries such as China, before assembling the products in the UK.

“Businesses are definitely seeing ventures with overseas manufacturers as a good strategy. Maganese Bronze, the Coventry company which produces black cabs, has entered into an agreement with a manufacturer in China, and that’s now their future strategy.

“Many companies in the region are getting stringer by assessing their own strategy, and seeing what they could do differently. It’s a good time to be positive bout the industry now – I think we’re entering a new era. This year will be about taking stock and consolidation.”