With operation controlled by the headquarters, the Chinese automaker will adopt a local assembly system and plans to expand production to the Rio de Janeiro market
The Chery Group has confirmed the installation of a factory and a regional parts distribution center for the Omoda and Jaecoo brands in Argentina. With the start of assembly operations scheduled for the second half of 2026, the move reinforces the Chinese manufacturer’s offensive to consolidate its presence in South America. The structure will be fully controlled by the Asian headquarters.
The adoption of this direct control has as its main objective to ensure financial and operational stability. The project will allow the development of its own standardized network of dealerships and after-sales services, whose starting point will be the capital Buenos Aires, and then expanding to other provinces of the country. The future production line will operate under the SKD (semi knocked-down) system, in which the cars arrive partially disassembled from China for final assembly on Argentine soil. Although the exact models and location of the plant are still under wraps, the manufacturer is evaluating a progressive increase in the use of local components.
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The initiative is the group’s most concrete effort to make its production in Argentina viable, after frustrated initiatives in 2008 — when it entered into a partnership with businessman Franco Macri — and in 2021. Currently, Chery operates in the region only through independent importers, but aims to centralize and verticalize its South American operations in strong synergy with the Brazilian market.
The strategic advance in the neighboring country directly reflects the automaker’s plans in Brazil. The brand is negotiating the acquisition of the industrial complex located in Itatiaia, in the state of Rio de Janeiro, currently operated by Jaguar Land Rover, which is considering ending its local production. The Chinese group’s goal is to transform the Rio de Janeiro unit into a large production hub for regional supply, with a projected capacity of up to 100 thousand vehicles per year. The strongest candidate to inaugurate this assembly belt in the domestic market is the Omoda 4 hybrid SUV, marking the transition of the brands to the new phase of electrification in the region.
