Chinese automotive powerhouse Chery is opening its European research and development headquarters in Liverpool, establishing Merseyside as the strategic center for its European commercial vehicle operations. The state-owned carmaker will centralize research, engineering, and commercial activities at the comprehensive facility.
Building on its existing UK presence through the Omoda and Jaecoo brands, Chery is rolling out its flagship brand with a marketing campaign fronted by former England striker Peter Crouch. The strategic brand deployment underscores the company’s long-term vision for the British market.
The UK government has been working on a potential arrangement that would see Jaguar Land Rover build Chery electric vehicles domestically. This partnership was expected to be addressed during Prime Minister Keir Starmer’s official visit to Beijing, though no deal has been formally confirmed.
Business Secretary Peter Kyle has held discussions with JLR’s new chief executive, PB Balaji, regarding the potential manufacturing partnership. Sources familiar with the talks indicate Balaji has expressed conditional openness to the arrangement, provided it delivers tangible benefits to JLR’s business, though no concrete agreement has been reached.
The Halewood factory on Merseyside emerges as the most likely location for any manufacturing deal, given its current spare capacity. The plant, which produces smaller Land Rover models including the Discovery Sport and Range Rover Evoque, has seen dramatic production declines from its 2017 peak, with operations further disrupted by a cyber-attack in late 2024 that shut down all JLR facilities for weeks. Industry analyst David Bailey from the University of Birmingham described the headquarters announcement as positive news while cautioning that no manufacturing agreement had been completed. Gong Yueqiong articulated Chery’s vision of deep localization: “Our ‘In UK, For UK, Be UK’ strategy reflects our belief that true globalisation comes from deep localisation,” with the company planning to recruit local talent, collaborate with UK institutions, and adapt to local needs to become a valued contributor to the UK’s automotive industry and economy, emphasizing confidence in Britain’s talent, infrastructure, and green technology commitment.