Chery will launch its Omoda 5 crossover in Europe this year.
Chinese brand Chery has ambitious plans to establish three brands in Europe and launch three new models for each brand -- all within two years.
Chery Europe managing director Jochen Tueting told Automotive News Europe sister publication Automobilwoche that if the launch is successful the company would consider setting up its own plant in Europe.
"The topic of production in Europe is certainly relevant for us," Tueting said. "Wherever we have achieved relevant volumes, we have also started local production. In Europe, we are convinced we will become a relevant brand and that local production will pay off in due course."
The automaker is off to a slow start.
Chery has already postponed its European market launch once, which was originally planned for 2017.
Tueting said he wants to start with the launch of the Omoda and Jaecoo brands in 2024 -- both are already available in China.
The Omoda 5 crossover with a gasoline engine will arrive in showrooms in spring, followed by the battery-electric vehicle version.
Next year the Jaecoo brand will debut with an SUV called the Jaecoo 7, followed by the luxury brand Exlantix.
Tueting said he does not want to position the Chery brands in the budget sector in terms of price, but still wants them to be "very competitive."
"The all-electric version of the Omoda 5 will remain under 40,000 euros," he said.
He justified the near-simultaneous launch of the three brands by pointing to their different market positioning.
"Theoretically, we could have initially come to Europe with just one brand, but we want to make it clear that Chery is broadly positioned, right into the premium segment," Tueting said.
Chery has chosen a structure with nine national sales organizations for sales in Europe. The Omoda and Jaecoo brands are each managed jointly.
"We have opted for a classic dealer network concept," he said. "Established retailers know their sales region best and are best able to address the right customers."
He added that specifications for Omoda and Jaecoo showrooms will be much more pragmatic than those of their competitors.
Despite the major market moves, Tueting said he did not want to provide sales targets.
"We are convinced that our Omoda and Jaecoo models will be successful in Europe," he said. "In short: We are here to stay."
IDG Capital is reportedly considering a 7-billion-yuan ($976 million) investment in Chery, founded in 1997.
The company is among China's largest car exporters and has sold close to 1.7 million vehicles in 2023. Chery is investing heavily in international expansions, including factories in Argentina, Indonesia, Malaysia, Thailand and Vietnam.
