Liverpool will serve as the European headquarters for Chinese carmaker Chery’s research and development operations, with the state-owned manufacturer consolidating its European commercial vehicle activities on Merseyside. The comprehensive facility will integrate research, engineering, and commercial functions.
Chery has successfully entered the UK market through its Omoda and Jaecoo brands and is now rolling out its eponymous brand with an advertising campaign starring former England international footballer Peter Crouch. The carefully orchestrated brand strategy reflects the company’s methodical approach to building consumer recognition.
The UK government has been pursuing a potential partnership that would enable Jaguar Land Rover to produce Chery electric vehicles on British soil. This arrangement was anticipated to be addressed during Prime Minister Keir Starmer’s state visit to Beijing, though no deal has been publicly confirmed.
Business Secretary Peter Kyle has engaged with JLR’s newly appointed chief executive, PB Balaji, about the potential manufacturing partnership. Sources familiar with 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. The plant’s operations were completely halted for several weeks in late 2024 due to a cyber-attack affecting all JLR facilities. Liverpool city council leader Liam Robinson praised Chery’s decision, calling it a major vote of confidence in the city’s capabilities and vision for growth. Gong Yueqiong outlined the company’s deep commitment: “We are not just bringing products to the UK – we are building a British business,” with Chery’s strategy focusing on recruiting British talent, partnering with UK institutions, and adapting to local market needs to become a valued contributor to the UK’s automotive industry and economy, reflecting confidence in Britain’s talent pool, infrastructure, and green technology commitment.