Chinese carmaker Chery has announced the opening of a research and development headquarters in Liverpool, marking the establishment of its European base. The state-owned company's commercial vehicle arm will house its European operations on Merseyside, encompassing research, engineering, and commercial functions.
The move could pave the way for a deal with Jaguar Land Rover (JLR) to build Chery electric vehicles in Britain. The UK government has been exploring this possibility, with discussions reportedly taking place during Prime Minister Keir Starmer's visit to Beijing, though no agreement has been announced.
Chery UK director Victor Zhang stated in June that the company was 'actively considering' building a UK plant as part of a localisation strategy. General manager Gong Yueqiong emphasised: 'We are not just bringing products to the UK – we are building a British business.'
Business Secretary Peter Kyle has discussed the potential deal with JLR's new CEO PB Balaji, according to a source. Balaji is said to be open to the move if it benefits the business, but no concrete agreement has been reached. Professor David Bailey of the University of Birmingham suggested any deal would likely utilise spare capacity at JLR's Halewood factory, also on Merseyside.
Chery already has a presence in the UK through its Omoda and Jaecoo brands and is launching its eponymous brand with an advertising campaign featuring former England footballer Peter Crouch. Liverpool city council leader Liam Robinson welcomed the investment as 'a major vote of confidence' in the city's capabilities.
