It’s there for all to see: in recent years, the European automotive landscape has witnessed a growing invasion of Chinese brands. What’s behind this phenomenon? And above all, can we trust Chinese cars?
To answer these questions, I visited one of the most advanced factories in the Chery groupthe Chinese giant that is firmly aiming for the European market, and I have collected data and direct impressions in order to outline a clearer picture.
China, an automotive superpower
As of 2023, China produced over 23 million cars, accounting for nearly a third of the 76 million vehicles produced globally. For comparison, Japan – the world’s second largest manufacturer – stops at 7.5 million, while Germany, first in Europe, has built around 4 million.
At one time, European cars dominated the Chinese market. However, with the advent of electrification – today one in two cars sold in China is electric – Western manufacturers struggle to reach 6% of battery car sales. Thermals, however, resist with a 25% share.
Photo at: Omoda & Jaecoo
The production lines of the Chery Superfactory in Wuhu
The flow has therefore been reversed: now it is the Chinese brands that are looking at Western markets with interest. A concrete example? In 2023, they were sold in Italy 84,000 cars produced in Chinadouble compared to the previous year. And, contrary to what you might think, only one in five is electric: brands such as DR and Sportequipe, but also models such as the Tesla Model 3, the Volvo EX30 and the Dacia Spring fall into this category.
Therefore, even European or American brands produce in China. The competitive advantage there is not just linked to low salaries: it is above all about innovation in production processes and massive industrial automation. According to the Draghi reportthere are six times more industrial robots in China than in the United States. A force that is directly reflected on productivity.
Inside the Chery Superfactory
To see how a highly automated factory works, I went to Wuhu, where the Chery group – one of the largest Chinese manufacturers – built one of its “Superfactory”. With its 800,000 square meters, the Wuhu plant is an example of industrial avant-garde. In the welding area alone there are 360 robot spread across 270 workstations, with just 80 workers per shift monitoring operations.
Photo at: Omoda & Jaecoo
Inside the Chery Superfactory in Wuhu
The assembly area impresses even more: three production lines work simultaneously on six different models, churning out one car per minute. With an annual capacity of 300,000 vehiclesefficiency is also guaranteed by the use of robots equipped with artificial intelligence for quality control. The investment in the Wuhu Superfactory was colossal: 2 billion dollars to create the larger and more advanced factory of the Region, with two other similar plants already planned, the first of which will be ready by 2026.
The European strategy of Omoda and Jaecoo
Founded in 1997, Chery is now the second best-selling brand in China after BYD. In 2023, it produced over 1.8 million cars, exporting almost half of them. This makes it the China’s largest automobile exporter for more than 20 years and part of the group’s success is due to international collaborations: since 2007, for example, DR imports models from the Tiggo family to finalize them in Molise.
It’s not just China that Chery is investing in, though. The Omoda and Jaecoo brands, created specifically for Europe, are set to play a key role. Omoda targets a young clientele, while Jaecoo aims for a more premium positioning. Both brands will offer a diversified range, with electric, hybrid and even LPG engines for the Italian market.
Photo at: Omoda & Jaecoo
Photo at: Omoda & Jaecoo
The Group already has an assembly plant in Spain and plans to build another for full production. In Italy, a research and development center is planned in the Turin area which will employ around 100 people.
Photo at: Omoda & Jaecoo
Photo at: Omoda & Jaecoo
The latest innovations from the Chery group
Among the technological innovations that I have been able to see are the MARS modular architecturewith 65 safety patents, and the Yuntai platform, developed in collaboration with Huawei for the implementation of technologies such as intelligent air suspension and four-wheel steering, as well as a by-wire steering system.
An inevitable challenge
After visiting Chery’s Superfactory and analyzing the group’s strategies, it is clear that Chinese cars are no longer synonymous with cheap, low-quality products. On the contrary, they represent increasingly formidable competition for European manufacturers.
The future of the automotive market will depend on the ability to regulate this competition and exploit it to foster innovation and growth. If addressed correctly, the Chinese challenge can be transformed into an opportunity for the entire European supply chain, including the Italian one, through the creation of new partnerships and synergies. On the other hand, competition will represent, once again, the best fuel to set in motion technological innovation and, hopefully, price reductions. To the benefit, therefore, of consumers.
Source: it.motor1.com
