increase is increasing in Europe, after BYD in Hungary, Chery will open a factory in Spain

After BYD in Hungary, another Chinese car group will open a factory in Europe. This is Chery, a group created in 1997, which chose to create its first European factory in Spain, on the former site of Nissan in Barcelona. This is part of a joint venture with the Spanish group Ebro-EV Motors, authorities and the two companies announced on Tuesday.

« EV-Motors, a company engaged in the design, manufacture and sale of vehicles and production in Spain, has entered into an agreement with the Chinese manufacturer, the leading exporter of Chery vehicles, for the joint venture, majority owned by Ebro », shows a joint press release from the two groups.

The agreement will allow ” the reconstruction of the factory in the free zone of Barcelona, ​​​​​​​​​​​owned by EV-Motors, and the production of the first model of the Ebro brand in the fourth quarter of this year. », promises the group in a press release.

Months of negotiations

The Spanish authorities reported in recent days on a close agreement after increased communication with Chery. But doubt continued on the decision of the Chinese group, and special media mentioned the possibility of its establishment in Italy.

« After months of negotiations, we are bringing industrialization to a close » from old Nissan website « and the agreement between Ebro and Chery for the production of thousands of cars », rejoiced Roger Torrent, responsible for business within the Catalan government, on the social network

The former Nissan site, where 3,000 people worked, was closed in December 2021. Part of this large industrial area was sold to the motorcycle manufacturer Silence and EV Motors, but the local authorities – in cooperation with EV Motors – were looking for another investor. launch the website fully.

However, Chery has been thinking about moving to Europe for almost 15 years. In 2009, discussions began with the Catalonia region to start construction of a factory in 2012 and start production in 2015.

Founded in 1997, Chery is a state-owned company. The brand, which it says will have sold 1.88 million passenger cars in 2023, was very popular about fifteen years ago in China, especially with a small petrol city car intended for the domestic market. Chery’s decision comes amid tensions between Beijing and Brussels, which opened an investigation earlier in April into public subsidies given by Chinese authorities to electric cars, which are accused of distorting competition.

BYD to build a factory in Hungary

Chery is the second Chinese manufacturer to announce an establishment in Europe, after electric car champion BYD, which announced last December the construction of its first European factory in Hungary. The latter must work within three years.

« BYD to build its first passenger car factory in Szeged, Hungary, marking an important step towards green mobility in Europe. », announced BYD Europe in December on its social network account X (formerly Twitter).

And the new car factory, the group ” expects to accelerate the entry of new passenger cars into the European market, strengthen its international presence, and actively promote the green transition of the global energy infrastructure. “, he said. The factory will be built in stages and is expected to create thousands of jobs on site, BYD said.

Who is BYD, this Chinese manufacturer that sells more electric cars than Tesla

Ella « it will be one of the most important investments in the history of the Hungarian economy », welcomed the Minister of Foreign Affairs of Hungary Peter Szijjarto in a press release, without giving precise figures.

The Chinese car giant indicated in February that it was also in contact with Giorgia Meloni’s government, which wants to bring a second manufacturer to Italy to increase car production and thus end Stellantis’ monopoly.

Italy wants to attract Chinese car groups

Italy plans to study” carefully » the possible entry of Chinese groups into its automotive industry considering the risk of ” unfair competition “, announced Thursday, February 29, Deputy Prime Minister Antonio Tajani. ” Cooperation must be carefully evaluated, then we must look out for unfair competition », he explained on the sidelines of the meeting in Rome.

« We must be careful that there is always balance in the relationship “, he said, adding that the decision about the possible arrival of the Chinese group in Italy will fall to the Council of Ministers. Trade Minister Adolfo Urso also announced that he has started negotiations with three Chinese car groups, without naming names.