Jaguar Land Rover Explores Partnership with Chery to Manufacture Cars in the UK

Jaguar Land Rover in Talks with Chery to Produce Vehicles in the UK

JLR (Jaguar Land Rover) is currently in discussions with Chery regarding the possibility of manufacturing the Chinese automaker’s vehicles at one of its plants in the United Kingdom. According to reports from the Financial Times, these talks are still in the early stages and are being facilitated by the British government, including Prime Minister Keir Starmer, who is currently in China for trade negotiations.

The UK government has set a target for the local automotive industry to produce 1.3 million cars annually by 2035. However, according to the Society of Motor Manufacturers and Traders, UK manufacturers only produced 738,000 cars last year.

While there is no guarantee that an agreement will be reached between Chery and JLR, some sources have suggested that high energy and labor costs in the UK could be potential obstacles to a deal.

Chery has been actively expanding its manufacturing operations outside of China, acquiring a factory in Barcelona in 2024 and recently purchasing Nissan’s plant in South Africa. In 2024, the EU imposed additional tariffs on Chinese-made electric vehicles, but the UK chose not to follow suit, citing a lack of complaints from local manufacturers.

Through its brands, including Chery, Jaecoo, and Omoda, the Chinese manufacturer experienced significant growth in the UK in 2025. Jaecoo saw sales increase from 209 in 2024 to 28,232 in 2025, surpassing Honda, Seat, and Citroen. Omoda also performed well, jumping from 3629 sales in 2024 to 19,855 in 2025, overtaking Suzuki, Jeep, and Fiat.

On the other hand, JLR faced challenges in 2025, with its UK manufacturing sites temporarily shut down due to a cyber attack and a change in leadership with CEO Adrian Mardell retiring. Chery and Jaguar Land Rover have been partners in the Chinese market since 2012, with Chinese production of Jaguar models ending in 2025.

The Range Rover Evoque and Land Rover Discovery Sport will be discontinued this year, to be replaced by models developed for the Freelander marque, all based on the Exeed EV platforms.

For those interested in exploring Land Rover and Jaecoo showrooms, there is more to discover in terms of automotive options.