Chinese automotive giant Chery is establishing its European research and development headquarters in Liverpool, positioning Merseyside as the hub for its European commercial vehicle operations. The state-owned manufacturer will consolidate research, engineering, and commercial activities at the comprehensive facility.
Already gaining recognition in the UK through its Omoda and Jaecoo brands, Chery is launching its eponymous brand with a high-profile marketing campaign featuring Peter Crouch, the well-known former England striker. This multi-tier brand approach demonstrates the company’s determination to capture significant market share.
Government officials have been exploring a potential partnership that would enable Jaguar Land Rover to manufacture Chery electric vehicles in Britain. While this deal was anticipated to be part of discussions during Prime Minister Keir Starmer’s state visit to Beijing, no agreement has been publicly announced.
Business Secretary Peter Kyle has engaged with JLR’s newly appointed chief executive, PB Balaji, about the potential manufacturing partnership. Sources close to the discussions indicate that Balaji, formerly an executive at JLR’s Indian owner Tata Motors, has shown conditional interest in the arrangement if it benefits JLR’s business objectives, though no firm agreement exists.
The Halewood factory stands as the probable location for any manufacturing partnership, given its substantial excess capacity following dramatic production declines from its 2017 peak of over 200,000 vehicles. Operations at the plant, which produces the Discovery Sport and Range Rover Evoque, were severely disrupted by a cyber-attack in late 2024. Merseyside hosts substantial automotive infrastructure, including Stellantis facilities in Ellesmere Port and Ford components production nearby. Gong Yueqiong outlined Chery’s deep commitment to the UK market: “Our ‘In UK, For UK, Be UK’ strategy reflects our belief that true globalisation comes from deep localisation. By recruiting local talent, collaborating with UK institutions, and adapting to local needs, we aim to become a valued contributor to the UK’s automotive industry and economy,” emphasizing the company’s confidence in the UK’s talent pool, infrastructure capabilities, and commitment to green technology development.