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Full Breakdown

Chery Expands UK Footprint with New R&D Centre

8/19/2026, 8:24:17 PM

Core Development Plan

On August 19, 2026, Chery Automobile announced a dedicated research-and-development centre at the UTAC Millbrook proving ground in Bedfordshire, England. Described as a “Centre of Excellence,” it will begin operations in late autumn 2026, initially focusing on chassis dynamics, steering feel and advanced driver-assistance systems for UK roads, with later phases targeting autonomous-driving and AI research.

Market Growth and Share

Chery’s Omoda, Jaecoo and core brands captured nearly 8 % of the UK car market in July 2026, up from about 3 % a year earlier (SMMT). The Jaecoo 7 SUV was the best-selling model in March 2026, driven largely by its plug-in-hybrid variant. Chinese-owned brands accounted for roughly 15 % of new-car registrations in the first half of 2026 (Reuters).

Data & Statistics

  • UK market share (July 2026): ? 8 % for Chery’s three brands.
  • Year-on-year growth: 3 % in July 2025 to 8 % in July 2026.
  • Global sales (July 2026): 276,820 vehicles, including 202,533 exports – a 70 % increase YoY.
  • Cumulative UK sales: Over 100,000 units since the brand’s UK launch in August 2024 (Financial Times).
  • Test-track access: UTAC Millbrook provides more than 43 miles (? 70 km) of purpose-built tracks.

Official Statements & Responses

Chery signaled intent to recruit local engineering talent and create high-skill jobs, though it has not disclosed the exact investment amount or projected employment numbers.

Verbatim Quotes

  • “We waited over 20 years for the right time to enter this market, and our ambition has always gone much further than simply bringing vehicles here.” — Gary Lan, international UK chief
  • “Creating a stand-alone engineering centre here means Chery Automobile can develop and validate vehicles against the particular demands of UK roads and UK drivers, with direct access to our engineering expertise and testing environments throughout that process.” — Chery, CEO

Impact and Strategic Significance

The R&D centre gives Chery direct access to a specialist testing environment, shortening feedback loops between UK customers, vehicle testing and product updates. Localising engineering helps differentiate Chery from other Chinese entrants that rely on overseas development. The move aligns with a non-binding memorandum of understanding signed with Nissan in June 2026 to explore contract assembly at Nissan’s Sunderland plant, potentially providing a domestic manufacturing base as early as fiscal 2027. Analysts note that the UK’s post-Brexit tariff regime imposes lower duties on Chinese-built cars than the EU’s countervailing duties, making Britain a high-margin entry point.

Conflicting Reports & Gaps

Sources differ on the exact proportion of Chinese-owned brands in new-car registrations: Reuters cites 15 % for H1 2026, while other outlets reference a rise from 10 % in 2025 to the same 15 % level. No definitive investment amount or job-creation target has been provided for the Millbrook centre, leaving the local economic impact uncertain.

What’s Next

  • Late autumn 2026: Commencement of R&D operations at UTAC Millbrook.
  • Fiscal 2027 (contingent): Potential start of contract manufacturing at Nissan’s Sunderland plant.
  • Ongoing: Expansion of the centre’s scope into autonomous-driving and AI research, and recruitment of UK engineering talent.