Chinese auto giant Chery is seriously considering strengthening its position in Europe and is already halfway to signing an agreement to produce its products at Volkswagen's plant in Germany.
This is reported by Automotive News , citing its sources. In addition, as the publication reports, this will help the Chinese bypass EU tariffs on electric vehicle imports.
The company itself also confirmed the fact of negotiations, but did not disclose all the details. Vice President of Chery International Charlie Zhang noted that a thorough analysis is needed to make a decision.
It will cover aspects related to regulation, cooperation with unions and logistics. The need for this procedure is associated with the general instability of the situation in the German economy, he stressed.
If successful, these enterprises will begin production of new cars under the Lepas brand. The company plans to release three models: two compact and one mid-size SUV based on the Tiggo crossovers.
They will be equipped with internal combustion engines, hybrid and electric powertrains. However, this is not Chery's first entry into the EU. Thus, since 2024, the brand has been actively producing cars in Spain.
We are talking about the former Nissan plant in Barcelona in cooperation with the Ebro company. Its production facilities are capable of producing up to 200 thousand cars per year.