Chery’s European Ambitions Take Root in Liverpool as R&D Hub Opens

The Chinese automotive powerhouse Chery is setting up its European research and development headquarters in Liverpool, signaling a major commitment to the UK market and European expansion. The state-owned manufacturer’s commercial vehicle arm will consolidate all European research, engineering, and commercial operations at the Merseyside location.
Already gaining traction in the UK through its Omoda and Jaecoo brands, Chery is simultaneously rolling out its eponymous brand with former England footballer Peter Crouch fronting the advertising campaign. This multi-pronged approach demonstrates the company’s determination to capture significant market share in Britain’s competitive automotive sector.
Discussions have been underway between the UK government and Jaguar Land Rover regarding a potential arrangement for JLR to manufacture Chery electric vehicles in Britain. Such a deal was anticipated to be addressed during Prime Minister Keir Starmer’s visit to Beijing, though no official announcement has emerged from those talks.
Victor Zhang, Chery UK director, stated in June that the company was “actively considering” building a UK production facility as part of its localization efforts. The establishment of the Liverpool headquarters represents a concrete step in this direction. Business Secretary Peter Kyle has reportedly discussed the potential manufacturing partnership with JLR’s new chief executive, PB Balaji, with sources indicating Balaji’s conditional openness to the idea, contingent on clear business benefits for JLR.
The Halewood factory, currently producing smaller Land Rover models, has substantial spare capacity that could potentially accommodate Chery production. JLR’s operations were severely disrupted in late 2024 by a cyber-attack that halted all production for several weeks. Gong Yueqiong emphasized that Chery’s commitment extends beyond importing products, stating: “Our strategy reflects our confidence in the UK’s talent, infrastructure, and commitment to green technology,” highlighting the company’s intention to become deeply embedded in Britain’s automotive ecosystem through local talent recruitment and institutional collaboration.