Chery Plans Australian R&D Centre to Fine-Tune Cars for Local Roads

Chery is preparing to establish a dedicated research and development (R&D) centre in Australia, aiming to improve how its vehicles perform in local driving conditions. The move could also bring benefits to New Zealand motorists as the Chinese manufacturer continues expanding its presence across both markets.

The planned facility will employ local engineering expertise to help refine vehicles for Australian roads, driving habits and customer expectations, rather than relying entirely on development work carried out overseas.

Speaking during the Chery Group User Summit in Wuhu, China, Chery International president Zhang Guibing confirmed the company's intention to strengthen its engineering capabilities in Australia.

Zhang acknowledged that Australian driving conditions differ significantly from those in China, making local knowledge increasingly important as Chery introduces more vehicles and brands to the region.

The new operation is expected to support vehicle development across multiple brands within the Chery Group, rather than focusing exclusively on the core Chery range.

What Does This Mean for New Zealand Drivers?

Although the proposed engineering centre will be based in Australia, New Zealand motorists could also benefit from the investment.

Many Chery vehicles sold in New Zealand share specifications and engineering configurations with their Australian counterparts, meaning improvements developed for Australia may eventually make their way into Kiwi showrooms.

Local calibration is particularly important when it comes to suspension comfort, steering response and advanced driver-assistance systems (ADAS).

These technologies can behave differently depending on road markings, surface quality, speed limits and driver expectations.

For New Zealand drivers, improvements to these systems could be especially welcome given the country's mixture of urban streets, winding rural roads and uneven surfaces.

However, Chery has yet to confirm whether the new centre will conduct testing specifically in New Zealand or develop unique calibrations for Kiwi conditions.

Chery Has Already Been Working on Local Improvements

The proposed facility builds on engineering and vehicle evaluation work Chery has been undertaking in Australia for several years.

Following criticism of some early Australian-market models, particularly concerning intrusive driver-assistance features and suspension behaviour, the manufacturer began focusing more heavily on local vehicle calibration.

Its engineers have already evaluated systems such as lane-keeping assistance, driver monitoring and steering behaviour, with an emphasis on making the technology better suited to Australian driving conditions.

The company has previously acknowledged that certain driver-assistance systems required refinement after customer and media feedback.

Establishing a permanent R&D operation would represent a further step towards incorporating local requirements into the development process rather than simply making adjustments after vehicles reach showrooms.

The Chery Stockman Ute Shows Why Local Testing Matters

One of the strongest examples of Chery's increased focus on Australian engineering is the upcoming Stockman ute.

The diesel plug-in hybrid ute is being developed with Australia as a key launch market, reflecting the importance of the region's highly competitive dual-cab segment.

Chery has already enlisted Australian automotive engineering specialist Premcar to carry out extensive local testing and validation.

Premcar, which has worked on vehicles including the Nissan Navara, is assessing the Stockman's ride and handling characteristics across various Australian driving environments.

The programme is intended to ensure the vehicle can meet expectations for everyday driving, longer-distance travel and demanding off-road conditions.

The Stockman combines a 2.5-litre turbo-diesel engine with a plug-in hybrid system, producing a claimed 350kW and 800Nm of torque.

It also offers a claimed braked towing capacity of up to 3500kg, positioning it against established players in the ute market.

Australian deliveries are currently scheduled to begin in February 2027, with a New Zealand introduction expected to follow.

Further testing is focusing on software-related refinements, including electric power steering and advanced driver-assistance systems, ahead of the ute's launch.

More Chery Group Brands Could Benefit

The planned Australian facility could eventually support a much broader selection of vehicles.

Chery Group's expanding international portfolio includes brands such as Omoda, Jaecoo, Lepas, iCAUR and Exlantix, although not every brand is necessarily destined for Australia or New Zealand.

According to Chery executives, decisions about which brands and products enter Australia will be made individually, based on market suitability and customer demand.

This approach could see local engineering teams become increasingly influential in determining how future models are configured before reaching dealerships.

Rather than offering vehicles developed primarily around Chinese domestic-market requirements, Chery appears keen to strengthen its ability to tailor products for different regions.

A Bigger Commitment to the Australasian Market

The move comes as Chinese manufacturers continue strengthening their positions in Australia and New Zealand.

Competitive pricing, extensive standard equipment and increasingly sophisticated hybrid and electric powertrains have helped brands such as Chery attract attention from buyers traditionally considering Japanese, Korean and European alternatives.

However, competitive specifications alone do not guarantee success.

Ride quality, steering feel, refinement and the behaviour of driver-assistance technology can significantly influence how a vehicle performs in everyday use.

For Chery, expanding local engineering involvement could help address these areas while building confidence among customers.

There are still important details to be confirmed, including the location of the new R&D centre, its staffing levels, investment value and opening date.

It also remains unclear how much development work will take place within Australia compared with testing and validation of vehicles engineered overseas.

Nevertheless, the announcement signals a growing commitment to ensuring Chery vehicles are better suited to the markets in which they are sold.

For New Zealand buyers, the potential benefit is straightforward: future Chery models could arrive with more refined suspension, steering and safety systems that have already been evaluated against driving conditions closer to home.

Whether those improvements translate into noticeably better vehicles will ultimately depend on how extensively Chery puts its new local engineering resources to work.