According to new plans, the Chinese car manufacturer plans to produce its flagship Omoda 5 EV model in Spain from October 2025, Bloomberg found out. The reason for postponing the launch of the assembly plant in Barcelona is EU tariffs on electric cars from China. Chery is assessing how the tariffs will affect its plan to bring partially built cars for final assembly, Bloomberg sources say.
The agency reminds that additional EU customs duties of up to 38%. on imported Chinese electric vehicles temporarily came into force in July but are still subject to negotiations between Brussels and Beijing. The new tariffs, which are in addition to the existing 10 percent. import levy will normally apply at the beginning of November, unless a qualified majority of Member States objects.
Increased tension between China and the EU
The tariffs have stoked trade tensions and forced automakers in Europe and China to reconsider electric car plans in the region.
One way to bypass additional tariffs is to move production from China to Europe. Chery, BYD and other Chinese manufacturers plan to open plants on the Old Continent.
Pedro Sanchez is against tariffs
One of the targets of Chinese automotive companies’ activities is Spain, which is counting on this Chery will restore over 1,000 jobs at the former Nissan Motor plant in Barcelona. Perhaps that is why Prime Minister Pedro Sanchez has broken ranks with the EU. This month, during a trip to China where he met with local automakers including Chery, Sanchez announced his opposition to the new tariffs.
The attitude of the Spanish Prime Minister must have appealed to the Chinese, as he made a press statement after the meeting Chery announced that it will increase its investments in Spain.
Disappointment of trade unions
Chery’s new plan caused friction with union workerswho were promised over 600 full-time jobs in Barcelona from October 1. The all-electric Omoda 5 will be launched in the fourth quarter of this year.
Managers of the plant, a joint venture between Chery and Ebro, informed the trade union that they can only employ part-time workersa spokesman for the SIGEN-USOC union told Bloomberg.
