this post was submitted on 30 Apr 2025
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Now it appears that Chery, China’s fourth-largest carmaker, which sold 2,603,916 vehicles in 2024 through its nine brands and joint ventures including with Jaguar Land Rover, is close to finalizing a deal to take over the two plants as it prepares to expand into European markets.

If it comes to an agreement to purchase the two German plants, it intends to manufacture models for its brand-new Lepas brand that was launched only a few weeks ago, on April 2, and sells modified versions of Cheryβ€˜s Tiggo range that will be available in global markets. European-made models will include two compact and one midsize SUVs with combustion, plug-in hybrid or all-electric powertrains.

Chery is no stranger to building cars in Europe in an effort to avoid the hefty taxes imposed on Chinese EVs by the EU as, since 2024, it has been assembling cars at a former Nissan factory in Barcelona, Spain in partnership with local firm Ebro.

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[–] avidamoeba@lemmy.ca 17 points 21 hours ago* (last edited 21 hours ago) (2 children)

If German unions keep tight control of the working conditions and pay, perhaps this is a decent strategy for getting cheaper EVs into Europe.

[–] rumschlumpel 12 points 19 hours ago

IMO, the prerequisite for cheaper EVs is offering models that are not SUVs. The article is a bit ambiguous about this, but "European-made models will include two compact and one midsize SUVs with combustion, plug-in hybrid or all-electric powertrains." sounds to me like they're mostly going to make 'compact SUVs' and 'midsize SUVs'. Or the article's author just focuses on their SUV offerings while ignoring smaller cars.

[–] doodledup@lemmy.world 5 points 20 hours ago* (last edited 9 minutes ago) (3 children)

There are a lot of contradictions in this sentence.

[–] avidamoeba@lemmy.ca 4 points 19 hours ago (1 children)

Why, cost of labor?

I didn't downvote btw.

[–] doodledup@lemmy.world 1 points 10 minutes ago

Tight working conditions and pay is what makes German cars so expensive.

[–] rumschlumpel 2 points 19 hours ago (1 children)

What's your issue with German auto unions?

[–] CosmoNova@lemmy.world 1 points 14 hours ago

I think they meant that pay is pretty good at German VW facilities so there's no way they can produce them very cheaply.

[–] CosmoNova@lemmy.world 2 points 14 hours ago

I think it's more that China is turning the table on Germany here. Dodging tariffs isn't very effective when your vehicles end up even more expansive because they're produced in a high income country. I see this move as more of a symbolic one and perhaps a training ground for further expansion.

[–] TheodorAlforno 2 points 15 hours ago (2 children)

So far Chinese cars have been adopted really slowly in Germany. People don't really trust the manufacturers.

[–] rumschlumpel 2 points 13 hours ago* (last edited 13 hours ago)

I've been seeing quite a lot of chinese cars, actually (all of them EVs). I think they might be more common than Tesla in my area.

[–] CosmoNova@lemmy.world 2 points 14 hours ago

I guess they hope that a new Brand plus the "Made in Germany" label might change that. Customers might not even be aware they're buying a chinese brand.

[–] Anonymaus 3 points 17 hours ago

Weren't VW and Rheinmetall in talks for some of the plants to start producing military vehicles

[–] UnderpantsWeevil@lemmy.world 6 points 21 hours ago (1 children)

Wonder how long until we see more Lepas on the road than Lexus

[–] einkorn 13 points 21 hours ago (1 children)

Tbh I havent seen a Lexus here in Germany for ages.

[–] Maeve@kbin.earth 1 points 21 hours ago (1 children)

What about regular Toyota?

[–] einkorn 3 points 19 hours ago

Not as common as in the past but still around I'd say.