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Chery Chooses Bedfordshire for UK R&D Hub, Deepening Chinese Carmaker Foothold in Britain

Elena MarquezPublished 2w ago4 min readBased on 4 sources
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Chery Chooses Bedfordshire for UK R&D Hub, Deepening Chinese Carmaker Foothold in Britain
Photo by Lenny Kuhne on Unsplash

Chinese automaker Chery is setting up a research and development centre at the UTAC Millbrook vehicle testing facility in Bedfordshire, England, with operations expected to begin in late autumn 2026. The site will join Chery's global R&D network and initially focus on chassis tuning and driver-assist technology, with plans to expand into autonomous driving and artificial intelligence over time. The Guardian

UTAC Millbrook, which hosts engineering and motorsport firms as well as the Ministry of Defence, offers more than 70 kilometres of purpose-built test tracks. That infrastructure gives Chery the ability to calibrate vehicles specifically for UK road conditions and consumer expectations, a localisation step that goes beyond simply exporting finished cars into the British market. The Guardian

Gary Lan, chief executive of Chery's UK business, said the company "waited over 20 years for the right time to enter the UK market" and that its ambition goes beyond bringing vehicles to British buyers. Kirsty Andrew, vice-president of UTAC UK, called the new R&D centre "a significant commitment to engineering and vehicle development in the UK." Chery described the launch as "the next step in our long-term plan" for Britain. The Guardian

Chery said it plans to recruit local talent and create engineering jobs in the Bedfordshire area but did not disclose the investment amount or the number of positions. The company is part-owned by the Chinese state, a detail that carries political weight at a moment when Western governments are scrutinising Chinese involvement in strategic sectors including automotive technology, AI, and connected-vehicle infrastructure. The Guardian

The R&D centre is not an isolated move. Chery has signed a deal with Nissan to build its cars at Nissan's Sunderland plant, with mass-market Chinese car production in Britain expected to begin from 2027. That would be a first: Chinese-branded vehicles assembled on UK soil at scale. The Bedfordshire R&D operation and the Sunderland manufacturing arrangement together form a vertically integrated UK strategy, covering everything from engineering development through to local production. The Guardian

The commercial momentum behind that strategy is already visible. In July 2026, the Chery, Omoda, and Jaecoo brands collectively held nearly 8% of UK market share, up from 3% the previous year, according to the Society of Motor Manufacturers and Traders. The Jaecoo 7, a hybrid electric vehicle built in China and nicknamed the "Temu Range Rover" for its combination of low price and technology features, was the UK's top-selling model in March 2026. The Guardian

That trajectory matters for several reasons. First, Chery's doubling of market share in twelve months places it among the fastest-growing automotive groups in the UK, at a time when legacy manufacturers are contending with the cost of electrification transitions and tightening emissions regulations. Second, the decision to localise R&D rather than rely solely on imported engineering suggests Chery intends to tailor vehicles to UK-specific requirements, including right-hand-drive dynamics, regulatory compliance, and consumer preferences in ride and handling. Third, the planned expansion into autonomous driving and AI research at Millbrook positions Chery alongside established industry players using UK facilities for advanced driver-assistance systems and connected-vehicle development. Reuters Automotive Management

The broader context here is one of structural shift in the UK automotive landscape. Chinese automakers have moved from peripheral entrants to volume players in a compressed timeframe, and Chery's integration of local engineering, manufacturing, and sales operations points to a deeper form of market embedding than simple export growth. The fact that the company is state-part-owned will inevitably attract attention from policymakers weighing national security considerations against industrial investment and job creation, particularly given that the R&D work will eventually encompass autonomous systems and AI at a facility shared with Ministry of Defence users.

What remains undisclosed, the investment scale and headcount, leaves open the question of how substantial the Bedfordshire operation will be in its initial phase. But the combination of a confirmed Nissan manufacturing deal, a growing R&D presence, and near-doubling market share indicates that Chery's UK strategy is proceeding across multiple fronts simultaneously, with the Millbrook centre serving as the engineering node in a broader British value chain.