The "Temu Range Rover" Sets Up Shop: China's Chery Plants a Flag in British R&D

European automakers have spent the better part of a decade nervously watching the horizon for a wave of cheap Chinese imports. That wave has now firmly hit the shore, and the manufacturers riding it are already building their beachheads. Chery, the state-backed Chinese automotive giant responsible for the Jaecoo and Omoda brands, is establishing a dedicated research and development centre in Bedfordshire. Scheduled to open this autumn at the UTAC Millbrook proving ground, the facility marks a distinct shift in strategy. Rather than simply shipping vehicles from domestic factories, Chery is embedding itself into the British engineering landscape.

The choice of location is highly pragmatic. UTAC Millbrook offers over forty miles of specialized test tracks, a site shared with bespoke motorsport engineering and the Ministry of Defence. Now, it will serve as the testing ground for fine-tuning Chinese vehicles to the quirks of British asphalt. The Bedfordshire site will eventually expand its scope to develop artificial intelligence systems and autonomous driving technologies. Chery UK chief executive Gary Lan indicated that 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.

The speed of Chery’s ascent in the United Kingdom is staggering, reflecting a ruthless efficiency that legacy European brands struggle to match. By July, the manufacturer’s stable of brands—which also includes the recently launched Lepas marque—captured nearly eight per cent of the UK market, up from three per cent the previous year. The Jaecoo 7, slightly dismissively dubbed the "Temu Range Rover" due to its aggressive pricing and heavy technological load, even claimed the title of the UK's top-selling model in March.

Until now, these vehicles have been entirely imported. However, the Bedfordshire R&D hub is merely the precursor to a larger industrial play. Chery has already secured an agreement with Nissan to manufacture cars at the Japanese firm's Sunderland plant. Slated to begin in 2027, this arrangement will initiate the first mass-market production of Chinese vehicles on British soil. It is a strategy of localization, designed to insulate the company from potential tariffs while tapping into established local supply chains.

UTAC UK vice-president Kirsty Andrew noted that creating a stand-alone engineering centre here means Chery Automobile can develop and validate vehicles against the particular demands of UK roads and UK drivers. While exact investment figures and job creation numbers remain undisclosed, the trajectory is clear. European manufacturers are being squeezed by competitors who benefit from massive state subsidies, lower labor costs, and a near-monopoly on battery supply chains. Now, those same competitors are utilizing British engineering expertise to perfect their product. The traditional auto industry is rapidly losing its home-field advantage.

Written by Sandy van Dongen sandy.vandongen@alpineweekly.com