Nissan held talks with Chery on building cars in UK factory, report says

Nissan held talks with Chery on building cars in UK factory, report says

Automotive News Europe — 2026-04-16

Automotive Industry

Nissan has held talks with China’s Chery about building cars at the Japanese automaker’s plant in Britain, the Financial Times reported.

Nissan discussed a partnership with Chery to increase the utilization rate of its Sunderland factory, which is currently operating at about 50 percent capacity, the report said, citing four people with knowledge of the talks.

Nissan has also held discussions with numerous other companies about using the plant, the newspaper said in an April 16 report, adding that talks with the Chinese state-owned automaker may not materialize in a deal.

Nissan and Chery did not immediately respond to requests for comment.

Under CEO Ivan Espinosa, Nissan has been cutting costs aggressively as it seeks to turn around its business after years of turmoil, announcing plans last year to close seven plants globally and cut about 15 percent of its global workers.

The Sunderland plant, which builds the Qashqai and Juke SUVs, and Leaf EV, and employs 6,000 workers, was excluded from Espinosa’s closure plans. Nissan said April 14 that it will add production of an all-electric Juke at the factory in the fourth quarter.

Nissan is trimming its global model lineup as it tries to stave off a threat from growing competition from Chinese electric-vehicle makers, including in Europe.

Chery has a joint venture with Spain’s Ebro to build cars at a former Nissan site in Barcelona. Earlier this year, Nissan sold its manufacturing assets in Rosslyn, South Africa, to the local arm of Chery.

Chery is looking to expand car production in Europe through partnerships with other automakers, allowing it to use existing factories, the automaker’s top executives have said.

The talks over its Sunderland plant would reflect a broader push by Chinese automakers to establish a manufacturing footprint in Europe to avoid import duties and shorten supply chains.

Stellantis is discussing a partnership with Dongfeng that would involve joint car production in Europe and China, Bloomberg reported. Stellantis is also reported to be in talks with its Chinese partner Leapmotor to build an Opel-branded electric SUV in Spain.

Geely and Ford are reported to have discussed a partnership that could see Geely use Ford factory space in Europe to produce cars for the region.