Chinese automakers, including Chery Auto and BYD, are planning to construct manufacturing and assembly facilities in Europe. This strategic move aims to boost sales of cost-effective cars in the region and compete with European auto manufacturers, amid weaker demand in the domestic market. Europe has witnessed a surge in imports of Chinese-made electric vehicles (EVs) which has led to an anti-subsidy investigation by the EU into these Chinese imports. Chery Auto has formed a partnership with Spain’s EV Motors to establish its initial European manufacturing site in Catalonia. Moreover, BYD, the world’s largest EV producer, plans to establish its first European EV production base in Hungary. Leapmotor has secured approval from the Chinese government for a joint venture with Stellantis to produce small EVs in Poland. State-owned SAIC and XPeng are also considering EV production sites in Europe.
Keywords: Chinese automakers, Europe, manufacturing plants, cheaper cars, Chery Auto, BYD, EV Motors, Catalonia, Hungary, Leapmotor, Stellantis, Poland, SAIC, XPeng, Geely.
