It “makes sense” for Geely to build cars in the UK
The third-largest Chinese manufacturer could have a new car building home in Britain
Geely could be poised to make a huge impact in the UK automotive industry by bringing production of its cars over here.
Producing cars in Europe or the UK could massively decrease costs for the Chinese firm, circumventing the higher tariffs on vehicles imported from China. Geely is looking to rapidly expand its presence here in the UK with a target of at least 100,000 annual car sales by 2030 and no less than seven new models in the next two years.
Speaking to Auto Express, Harry Bathe, Geely UK Head of Sales, spoke about the potential for Geely to bring production to the UK: “it makes sense for us. If the brand grows to a point where it makes financial sense then we’ll do it, absolutely.”
While decreasing costs is important, Geely’s UK Managing Director Mike Yang, added that the firm’s priorities extend beyond building cars as cheaply as possible: “From a manufacturing perspective, it is an option to produce cars here or there, but the target is the customer’s experience and satisfaction. It is a question that will determine efficiency and cost, and if [there is] an advantage.”
A recent report by Reuters suggested that Ford and Geely are indeed in discussions over the potential for the Chinese firm to use Ford's spare manufacturing facilities to build cars in Europe. The agreement is apparently not limited to production either as the two firms could share technology development, too.
Ford’s Cologne plant recently went through a $2billion transformation and now produces the new Capri and Explorer. Although it is capable of turning out 250,000 cars annually, the plant is running below capacity. The upcoming Ford Fiesta replacement won’t encroach on Ford's existing capacity either as it’ll be assembled in Renault’s ElectriCity manufacturing complex in France.
Geely isn’t the only Chinese car company looking to put down roots here in the UK either. Chery, which owns Jaecoo and Omoda, recently confirmed plans to open a European headquarters in Liverpool and is rumoured to be in discussions to build cars at Jaguar Land Rover facilities in the UK.
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