Chinese car makers boost European production with new factories

Chinese automakers are rapidly expanding their manufacturing footprint across Europe. BYD is set to start production at a new plant in Szeged, Hungary, with an initial capacity of 150,000 vehicles per year. Chery has begun assembling the Omoda 5 at the former Nissan factory in Barcelona and aims to develop the site into a global export hub, also targeting a 150,000‑unit annual output. Leapmotor, Xpeng and GAC are planning smaller‑scale assembly lines, while Magna will assemble limited numbers of Xpeng and GAC models in Austria. SAIC’s MG brand plans a 100,000‑vehicle plant in Galicia, Spain, and Stellantis is preparing to produce the Polestar 7 in its new plant in Kassa. The broader strategy includes repurposing existing European plants, such as Stellantis facilities in Zaragoza and Madrid, to host Chinese models.

In Hungary, BYD’s new Sealion 5 DM‑i plug‑in hybrid SUV was test‑driven, revealing a high‑tech drivetrain but drawing criticism for its ergonomics, interior fit‑and‑finish and styling that diverge from European expectations.