A Dual-Pronged Approach to Global Dominance
In a bold declaration of its international ambitions, Chery Automobile Co., China’s largest car exporter, has outlined a strategic vision inspired by two of the world’s most successful yet fundamentally different automakers: Toyota and Tesla. Speaking at the company’s global headquarters in Wuhu, eastern China, on April 28, 2026, Chairman Yin Tongyue detailed what he termed the “double T” strategy, a dual-pronged approach designed to propel Chery deeper into European and other international markets.
The strategy, as Yin explained to Reuters, involves producing vehicles that combine the legendary reliability and long-term customer retention associated with Toyota, with the cutting-edge technology, software integration, and innovative appeal characteristic of Tesla. This ambitious synthesis aims to attract both traditional car buyers seeking dependable transportation and younger consumers drawn to advanced electric vehicle (EV) features and autonomous driving capabilities. The announcement underscores the growing confidence of Chinese automakers as they transition from domestic heavyweights to formidable global competitors.
Expanding the European Footprint
Chery’s global expansion is already well underway, with the company’s international sales surging dramatically in recent years. From 2020 to 2025, Chery’s global sales almost quadrupled, culminating in 2.8 million vehicles sold last year—a nearly 8% year-over-year increase. A significant portion of this growth has been driven by the company’s heavy reliance on sport utility vehicles (SUVs), which accounted for 2.3 million of its total sales in 2025.
However, to truly penetrate the European market, Chery recognizes the need to adapt its product lineup and manufacturing footprint. Yin noted that unlike Chinese consumers, who traditionally prefer larger vehicles, European buyers favor smaller, more compact cars. Consequently, Chery is actively developing smaller models tailored specifically for European tastes. Furthermore, the company is moving beyond simply exporting vehicles from China, a model Yin acknowledged is not sustainable for large volumes in the long term.
Chery has already established a joint venture in Spain, building its Ebro brand cars at a former Nissan plant in Barcelona. The company is now considering adding production capacity at this facility and is actively seeking partnerships with other European automakers to share production facilities. “We can share profits, we can share models,” Yin stated, highlighting a collaborative approach to localized manufacturing that could help Chery navigate the complex regulatory and political landscape of the European auto industry.
The Rise of Omoda and Jaecoo
A key component of Chery’s international strategy is the deployment of its newer, globally focused brands: Omoda and Jaecoo. Launched in 2023, these brands were specifically designed to appeal to international consumers, featuring distinct styling and advanced technology packages. The strategy appears to be paying off; combined sales of Omoda and Jaecoo reached 380,000 units last year.
The Jaecoo 7 SUV, in particular, has seen remarkable success, becoming Britain’s top-selling car in March 2026. Building on this momentum, Chery informed dealers and staff at its recent “international business summit” in Wuhu—an event attended by approximately 4,000 international partners—that it is targeting combined sales of 1 million vehicles for the Omoda and Jaecoo brands by 2027. This aggressive target reflects the company’s belief that these brands can serve as the vanguard of its global expansion, establishing a strong foothold in highly competitive markets.
Navigating the Domestic Shakeout
While Chery’s international prospects appear bright, the company must also navigate a fiercely competitive, increasingly volatile domestic market. China’s auto industry is currently embroiled in a brutal price war, with over 100 brands vying for market share amid slowing overall growth and rapid technological shifts.
Despite Chery’s status as the top exporter, it remains behind domestic rival BYD in overall volume; BYD sold 4.6 million cars in 2025, becoming the world’s fifth-largest automaker. Yin, however, views the current domestic turmoil as a necessary, albeit painful, phase of industry maturation. He predicted that a long-overdue shakeout is imminent, stating, “In a couple of years, maybe a very few can survive and be healthy. Right now, it’s coming.”
This anticipated consolidation could ultimately benefit well-capitalized, globally diversified players like Chery. By securing strong revenue streams and brand recognition abroad, Chery is positioning itself to weather the domestic storm and emerge as one of the dominant survivors in the reshaped Chinese auto landscape. The success of its “Toyota plus Tesla” strategy will be critical in determining whether Chery can truly achieve its goal of becoming a top-tier global automotive powerhouse.
(Related: Volkswagen Adds AI Agents to China-Made Cars in Partnership with Horizon Robotics)