Chinese automotive manufacturer Chery is set to open a new research and development facility in Bedfordshire later this year, citing robust demand for its vehicles in the United Kingdom. The new center, located at the UTAC Millbrook vehicle development and testing facility, is scheduled to begin operations in late autumn 2026.
This expansion marks a significant step in Chery's long-term strategy for the UK market, according to Gary Lan, CEO of Chery International UK. "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," Lan stated.
Chery Group, which also owns the Jaecoo and Omoda brands, has experienced rapid growth since its launch in the UK. In the past month alone, the company's sales accounted for 8% of the UK's new-car market. Chery has also recently introduced its fifth brand, Lepas, specifically designed for European markets.
The company's move follows a recent agreement with Nissan UK to explore the possibility of manufacturing Chery vehicles for the UK market at Nissan's Sunderland plant. This potential collaboration comes as Nissan's facility has not been operating at full capacity.
Chinese car brands collectively hold approximately 15% of the new car market in Britain during the first half of 2026, based on recent registration data. SAIC Motor's MG leads this segment, with 55,944 units sold and a 4.3% market share between January and July. BYD, identified as the world's largest EV maker, has sold 44,398 units in the UK, representing 3.4% of new car sales. Jaecoo, Omoda, and Chery brands combined have received nearly 83,000 orders in the UK this year.
The Bedfordshire R&D center will initially focus on developing vehicle chassis and driver-assistance systems tailored for British drivers. Future plans include expanding into autonomous driving and AI technologies. "UTAC Millbrook allows us to turn UK customer insight into product development, from ride and steering to active safety systems," Lan added.
The exact investment amount and the number of jobs to be created at the new facility have not yet been disclosed. Kirsty Andrew, vice president of UTAC UK, described the collaboration as "the sustained momentum of a long-term engineering relationship with Chery Automobile."