Nanjing Automobile will definitely go ahead with car production at the former MG Rover car factory in Birmingham, the Chinese carmaker said, James Mackintosh reports from London.

The company will not exercise an option next month to walk away from its 33-year lease on part of Rover’s Longbridge factory, a spokesman told the Financial Times.

Suppliers asked to tender for component contracts had previously been unsure whether Nanjing was committed to the UK.

“We will continue the lease,” a spokesman for Nanjing said. He declined to give any details of the production plans ahead of a planned announcement next month.

Nanjing paid £53m ($98m) last autumn for the assets of Rover after the company’s collapse, and then spent six months searching for a partner to help restart British production before deciding to go it alone.

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