Chery Begins European Vehicle Production at Spanish Joint Venture Plant

Credit: Chery.co.za

Chinese automaker Chery has launched vehicle production in Europe, marking a milestone in its international expansion. The first vehicle, an S700 under the Ebro brand of Spain’s EV Motors, was completed at the joint venture plant in Barcelona on November 23, according to the company’s announcement.

The Barcelona facility, Chery’s first European production base, is part of a €400 million investment to revive a former Nissan plant closed in 2021. Production is expected to reach 50,000 vehicles annually by 2027, scaling up to 150,000 units by 2029. This initiative aligns with Chery’s broader strategy to localize production and reduce exposure to trade challenges, including potential tariffs on Chinese-made vehicles.

Chery’s export growth underscores its expanding global presence. In 2023, the company recorded its highest-ever export volume, with 937,148 vehicles shipped, a 101.1% increase from the previous year. With operations in regions like Central Asia, South America, and the Middle East, the company anticipates surpassing 1 million annual exports for the first time this year.

The move to establish a European production base highlights a growing trend among Chinese automakers to localize manufacturing as the European Commission considers implementing tariffs on electric vehicle imports from China. Chery joins other manufacturers, such as BYD, in setting up regional production facilities to secure access to the European market.

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