Business · Companies · 11 hrs ago
Geely expands its car sales in Europe and plans Spanish production
Chinese carmaker Geely is bringing its own brand to Europe, though its parent company has operated there for years.
The company bought Volvo in 2010 and has since launched Polestar, Zeekr and Lynk & Co in Europe.
It also owns half of Smart and has a 10% stake in Mercedes-Benz.
Geely says it will build its position through its products, rather than competing mainly on low prices.
An auto industry expert warns that too many brands and models could confuse buyers and weaken the companies behind them.
Geely plans to make some cars in Valencia from 2028, working with Ford, and is building its supply chains.
The company says it needs at least 1% market share to survive and hopes to reach 4% or 5% within five years.
Geely plans to begin producing some of its vehicles in Valencia, Spain, from 2028, together with Ford.
The Chinese company currently imports its Geely-brand cars into Europe from China.
Geely says it has invested in Europe for 20 years and employs about 1,000 engineers at research centres in Frankfurt and Gothenburg.
The company has launched several other brands in Europe, including Volvo, Polestar, Zeekr and Lynk & Co.
An automotive-industry expert warned that the number of Chinese brands and models could confuse customers and lead companies to undercut one another.
- Who
- Geely, a Chinese automotive company, is expanding its sales in Europe. It plans to produce some vehicles with Ford.
- What
- Geely plans to make some vehicles in Valencia from 2028 and says it is building supply chains.
- When
- The report was published on 18 October 2026. Production in Spain is planned to begin in 2028.
- Where
- Geely is expanding in Europe and plans production in Valencia, Spain. Its research centres are in Frankfurt and Gothenburg.
- Why
- Not stated.
Geely
Automotive-industry expert Stefan Bratzel
Brand strategy
Geely
Geely says each of its brands is different and has its own positioning.
Automotive-industry expert Stefan Bratzel
Bratzel warns that the abundance of Chinese brands and models could lead them to cannibalise one another.
Customer response
Geely
Geely says it takes five to seven years to establish a brand.
Automotive-industry expert Stefan Bratzel
Bratzel says customers may eventually struggle to understand the many brands and models, which could benefit established brands.
Geely took over Volvo.
Geely launched the Polestar brand in Europe.
Geely launched the Zeekr brand in Europe.
Geely launched the Lynk & Co brand in Europe.
Geely plans to produce some vehicles in Valencia together with Ford.
- Spanish production
- Planned from 2028 in Valencia, with Ford
- European research staff
- About 1,000 engineers
- Research centres
- Frankfurt and Gothenburg
- Geely brand launches
- Polestar in 2017; Zeekr in 2021; Lynk & Co in 2024
- Market-share target
- Aiden He said a company needs 1% market share to survive
What people are saying
We have already been investing in Europe for 20 years.
Each brand is completely different and has its own positioning.
I believe that all Chinese manufacturers have to be a little careful with their flood of products and brands, so they do not cannibalise one another.
I believe brand trust will become more important again in the longer term.