Chinese state-owned automaker Chery is preparing to open a European research centre in Liverpool, alongside discussions involving Jaguar Land Rover manufacturing in Britain.

According to The Guardian, Chery will locate its European commercial vehicle headquarters on Merseyside, bringing together research, engineering and business teams in the region.

The company already sells vehicles in the UK under its Omoda and Jaecoo brands and is rolling out its main marque through an advertising campaign featuring former England footballer Peter Crouch.

UK government officials have been exploring a possible arrangement that would see Jaguar Land Rover build Chery electric vehicles domestically.

That proposal had been expected to feature in discussions during the UK’s Prime Minister Keir Starmer’s visit to Beijing, though no agreement has been confirmed.

Liverpool Labour said on X that Liverpool City Council leader Councillor Liam Robinson met Yang Junling, vice-president of Chery Commercial Vehicle (CCV), in Shanghai to back plans for CCV’s European base in the city.

In a statement on X, Robinson said: “We are absolutely delighted that Chery Commercial Vehicle has recognised the strengths of our city and the fact that we have such a strong automotive cluster, we have got a skilled workforce and that we're a global trading city.”

In June 2025, Chery UK director Victor Zhang stated that the group was actively considering establishing a factory in Britain as part of a localisation strategy.

The report added that business secretary Peter Kyle has raised the potential deal with JLR’s new chief executive, PB Balaji.

Balaji, previously an executive at Tata Motors, is said to have indicated openness to the idea if it proved commercially beneficial, while stressing that nothing had yet been finalised.

JLR operates the Halewood plant in Merseyside, where the Discovery Sport and Range Rover Evoque are produced.

The site built more than 200,000 vehicles in 2017 but far fewer in 2025, after output was interrupted late last year by a cyber-attack that halted operations for several weeks.

Recently, Nissan Motor announced that it has reached an agreement to sell its underperforming manufacturing facilities in South Africa to Chery Automobile, subject to certain conditions, including regulatory approvals.