news-17112024-043318

Chery, a Chinese carmaker, has announced a delay in the start of vehicle production at its Barcelona plant in Spain. The production is now scheduled to begin in the fourth quarter of 2025, which is about a year later than the initial plan. This delay was confirmed by Pedro Calef, the chief executive of Ebro, Chery’s Spanish partner.

Despite the postponement, Calef emphasized that the project has not been canceled, and there is a belief that the relationship between Ebro and Chery will remain strong for years to come. The decision to delay production was made to readjust the project timeline, according to Calef.

One of the reasons cited for the delay in production was the impact of European Union tariffs on Chinese-made electric vehicles. However, Calef reassured that the joint venture between Chery and Ebro should not be affected by these tariffs as the production is based in Europe. Spain had abstained from the EU vote in October to impose higher tariffs on Chinese EVs.

The joint venture between Chery and Ebro aims to produce up to 150,000 vehicles annually by 2029, with the Barcelona plant serving as one of Chery’s main export facilities. The plant, which was previously used by Nissan, will also provide employment opportunities for up to 1,250 former Nissan workers, according to Ebro’s Chairman Rafael Ruiz.

In addition to the joint venture with Chery, Ebro is also set to produce its first SUV at the end of this year. The SUV will be available in plug-in hybrid and petrol engine versions, with sales initially focused on the Spanish market. Ebro projects sales of around 330 million euros in 2025 and 1.1 billion euros in 2027, with expectations of profitability starting next year.

In conclusion, the delay in production at the Barcelona plant is a strategic adjustment to ensure a solid relationship between Chery and Ebro. Despite the challenges posed by EU tariffs on Chinese EVs, the joint venture remains optimistic about its future prospects and aims to establish a strong presence in the European market.