Birmingham-based MG Rover has sold off its parts business for more than �100m. It has been bought by Leicestershire-based Cat Logistics Services, which already manages the company's distribution and sale of parts.
Rover is hoping the decision will help it to increase revenues in the world's fastest-expanding car market, China.
The company said more money can now be invested after its recently-signed deal with the Chinese car manufacturer, Shanghai Automotive.
Cat Logistics has managed the marketing, distribution and sale of parts and accessories to MG Rover dealers, distributors, and other customers.
Rover said selling the parts business affects 29 people, most of them at management level.
They will be given the option to move from the Longbridge plant in Birmingham to Cat's base in Desford, Leicestershire.