Geely Explores New European Plant Amid Growing Competition in the Electric Vehicle Market

Credit: Geely

Chinese carmaker Geely is considering establishing a manufacturing plant in Europe, though the decision is not yet final, according to Li Chuanhai, vice president of Geely Auto Group. In an interview with Reuters during the Frankfurt Motor Show, Chuanhai revealed that talks with European countries, including Poland, are ongoing but no commitments have been made.

“There are many possibilities,” Chuanhai stated, referring to discussions about a potential joint electric vehicle (EV) plant in Poland. However, officials in the Polish government have expressed reservations, noting that Geely may not be their ideal partner for such a project.

Geely, China’s second-largest automaker, is actively exploring opportunities to expand its European presence. The company already owns Volvo Cars, has a joint venture with Renault, and holds stakes in Aston Martin and Mercedes-Benz. Nicolas Appelgren, CEO of Geely’s Lynk & Co brand in Europe, confirmed that Geely is scouting locations across the continent.

Lynk & Co currently offers one hybrid model in Europe, but plans to introduce a China-made battery-electric car in Italy next month, with the next electric model likely to be built in Europe.

The move comes as European regulations tighten, with the European Commission considering tariffs of up to 35.3% on EV imports from China. This push for local production is echoed by other Chinese automakers, including Chery and Great Wall Motor, who are also exploring European manufacturing options to navigate trade barriers and expand their market share.

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