Chinese automotive company Chery is interested in two Volkswagen factories in Germany to be able to produce cars. According to the latest information, the parties are holding talks on the transfer of the production facilities in Dresden and Osnabrück.

Chery will buy Volkswagen’s factories

In recent months, it was revealed that Chinese brands were interested in these facilities, which Volkswagen was considering closing as part of its cost-cutting policy. Now, Chery’s move to manufacture in these facilities in order to strengthen its presence in the European market has become a hot topic.

While Chery management confirmed its plans to manufacture in Germany, it did not make an official statement on whether the talks were held with Volkswagen. Chery International Vice President Charlie Zhang said that the final decision will be made after details such as labor unions, supply chains and operational costs are clarified.

If an agreement is reached, Chery plans to manufacture its new brand Lepas, which was introduced on April 2, 2025, in these factories. The models to be launched under the Lepas name will be redesigned versions of Chery’s current Tiggo series.

These vehicles, which will be produced in Europe, will have internal combustion engine, plug-in hybrid and fully electric powertrain options. The production range includes two compact SUVs and one mid-size SUV.

On the other hand, Chery’s investment plans for Turkey remain uncertain. In recent weeks, there were reports that a $1 billion factory investment would be made in Samsun. Whether these claims will come true or not will be clear in the coming days.

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