China’s Geely research sites for European factory By Reuters

By Victoria Waldersee

FRANKFURT (Reuters) – Chinese carmaker Geely is looking for locations for a factory in Europe but has not fully committed to ramping up local production, executives at the auto conglomerate said in interviews with Reuters in Frankfurt.

“It’s not 100 percent yet,” said Li Chuanhai, vice president of Geely Auto Group, one of the brands of Zhejiang Geely Holding Group, when asked if the automaker would build a factory in the region.

Talks are ongoing between Geely and Poland’s new government about a joint electric vehicle plant in the country, but officials told Reuters earlier this year that they did not see Geely as an ideal partner.

“We have a lot of possibilities,” Li said when asked about the talks, declining to elaborate.

Nicolas Appelgren, CEO for Europe for the Geely Lynk & Co brand, said Geely is looking for locations in the region.

The brand, which currently sells only a hybrid model in Europe, will launch a Chinese-made battery electric car in Italy next month, but plans to build its next battery electric car in Europe, Appelgren said, adding that there is not yet a specific timeline. .

Geely is China’s second-largest automaker by sales, eclipsed by BYD ( SZ: ) just last year. It owns Volvo (OTC:) Cars, has a joint venture with Renault (EPA: ) and owns stakes in Aston Martin and Mercedes-Benz (OTC: ).

The company on Wednesday dedicated a base in Frankfurt where it plans to test 13 so-called “new energy vehicles,” a term in the Chinese auto market for hybrids, battery electric cars and hydrogen cars, to assess their performance and compliance with regulations European. certification standards.

Geely joins a growing number of Chinese automakers, including Chery and Great Wall Motor, making plans to set up local factories in Europe as the European Commission plans tougher trade barriers to electric vehicle imports from abroad, including tariffs up to 35.3% for which negotiations with Beijing are ongoing.