Nissan Mulls Building Cars for Chery in UK

Nissan is reportedly in discussions to manufacture vehicles for China's Chery at its Sunderland, UK, factory. Nissan's CEO, Ivan Espinosa, indicated that the company is open to arrangements that could increase production volume at the plant, which is the largest of its kind in the UK. This comes as Nissan reported substantial financial losses for the year ending March 2026.

Several European automotive manufacturers are also exploring partnerships with Chinese companies to share factory capacity. Ford has reportedly considered talks with Geely regarding a Spanish plant, while Stellantis has announced plans to build cars for Leapmotor in its Spanish facilities. BYD's executive vice-president, Stella Li, confirmed ongoing negotiations with Stellantis and other European firms to utilize underused factories.

Chinese car imports are rapidly gaining market share in Europe, largely due to their competitive pricing. This trend has led some European manufacturers to consider utilizing their own idle factory space for Chinese brands as a means to offset costs and generate revenue. Nissan's European operations are a smaller segment of its global business, but the Sunderland plant has been impacted by broader financial challenges, including a recent merger of production lines and job cuts across Europe.