These two latests international manufacturing sites further Chery’s intent in being a truly global automaker.
It seems that Chery isn’t only interested in exporting its models overseas, but is aiming to be a truly global player in the automotive industry too. Such is as the Chinese automaker has recently closed on a deal to open a plant in Vietnam, while reportedly nearing a similar agreement to produce its models in Spain too.
Touching upon its Vietnamese endeavours first, Vietnam’s trade ministry has announced that Chery had signed a joint venture agreement with a local company to set up an $800 million (RM3.8 billion) plant. This deal sees for Chery to become the first Chinese EV manufacturer to set up a site in the country.
The manufacturing plant, which will be jointly established by Chery’s Omoda and Jaecoo units and Vietnamese company Geleximco, will be situated in the costal province of Thai Binh, the ministry said in a statement following a signing ceremony. The first phase of construction is expected to be completed in the first quarter of 2026, with a proposed eventual production capacity of 200,000 vehicles annually.
Interestingly enough, news of this factory in Vietnam comes before the Chinese automaker actually has made landfall in the country. Chery nevertheless has already announced plans to launch two new EV models over there by the end of the year, in addition to establishing a sales network ahead of local production.
Now moving onto Chery’s plans for Europe meanwhile, it was also recently reported that the Chinese automaker is nearing a deal to start making cars in Spain. In a deal brokered between the the Spanish government and lead negotiator EV Motors, the former was quoted in a statement that it was confident for an agreement to start production in Barcelona will be formalised in the coming days.
Set to be its first manufacturing site in Europe, Chery will reportedly be churning out cars from Nissan’s old Barcelona plant. The Japanese automaker previously shut down this particular Spanish site in 2021, as part of its global restructuring plans set in 2020.
Between then and now, Nissan’s Barcelona plant was partially handed over to Spanish electric motorcycle maker Silence and local engineering groups QEV and EV Motors, which planned to turn it into a hub for electric vehicles. The latter has since acquired full corporate control of the hub in March, and has played a key role in the talks with Chery because it would operate under the hub’s umbrella.
It remains unclear if the Spanish government will offer any public aid to Chery, but it’s opening two tenders this year, inviting companies to request a total of €1.7 billion (RM 8.6 billion) in loans and grants for EV production. It remains similarly unclear as to what models the Chinese automaker intends to begin manufacturing in Europe, nor how many units it expects to produce annually.
Chery currently plans to launch its Omoda 5 as its debut model in Spain later this year, with this crossover set to be the automaker’s spearhead into the other European countries as part of its upcoming rollout strategy in the Old Continent. It has been reported for the Omoda and Jaecoo to soon be present in all major European markets, which will then be followed up shortly after by its all-electric Exlantric unit.
