Italy is in talks with China's Chery Auto about the possibility of building a car plant in the country, Reuters reported.
Italy's goal is to increase national car production to 1.3 million units per year from less than 800,000 in 2023. The Italian government is also currently in talks with the Stellantis alliance to expand their production to one million cars per year. Italy's Industry Minister has stated that the country needs a second manufacturer to increase national car production by around 300,000 units.
If the talks with Chery Auto succeed, it would make Chery one of the first Chinese carmakers with production in Europe and increase competition with local manufacturers, especially in the electric car segment. Last month, Italy held talks with Tesla and several Chinese companies that have also expressed interest in investing in the country's automotive industry.
A Chery Europe spokesperson confirmed that the company is considering local production in Europe and is currently in talks with several potential partners. Possible options include refurbishing existing plants or building a new facility. A Reuters source in the Italian government said there have also been contacts with Great Wall Motor. Representatives of other Chinese carmakers such as BYD have also expressed interest in Italy, but BYD has already announced plans to build its first European plant in Hungary, so a facility in Italy is unlikely.
Source: Reuters
