Chinese giant Geely plans Aussie attack

You can add Geely Auto to the list of Chinese car-makers that are planning to launch in Australia.

Multiple carsales sources have confirmed the leading Chinese auto brand has been hunting for a distribution partner in Australia and has the intention of setting up shop here in 2023-24.

Geely will be capable of offering plug-in hybrid and all-electric SUV, ute and passenger models, and would be a value-priced player lining up against fellow Chinese brands such as MG, BYD, Chery and GWM Ora and Tank.

If it is successful in its search, it would be a Aussie return not a debut for Geely, which was distributed by Western Australian car dealer John Hughes between 2011-2014.

The local relaunch of Geely is understood to be part of a wider exploration of right-hand drive markets, with the UK also expected to be a target.

Geely Auto does export already, but at the moment only to left-hand drive markets.

carsales has been told Geely is not only seeking a local distribution partner but also potentially a local investor to help cover right-hand engineering and manufacturing costs.

This is a similar business model to EV brand BYD, which has been paid by the Australian distributor to aid development and production of RHD vehicles.

carsales understands the arrival of the COVID pandemic stalled the Geely investigations in Australia that were happening about four years ago.

Even now, negotiations between Geely and potential Australian partners has been complicated by China’s strict COVID travel regulations, which means video conferences rather than face-to-face meetings.

Approached for comment, a Geely spokesman offered only a brief reply to a request for interview:

“No immediate plans for Geely Auto’s launch in Australia at this stage.”

Call it a non-denial denial.

Number four on the sales list in China in 2021, Geely Auto is a subsidiary and original brand of Zhejiang Geely Holding Group, a private company run by one of China’s richest men, Li Shufu.

Apart from Geely Auto, it owns through various different structures Volvo, Polestar, Lynk & Co, Lotus, the London Electric Vehicle Company and has a large stake in Proton and micro-car brand smart, and smaller shares of Mercedes-Benz Group and Aston Martin.

Brands it has recently established include EV specialists Radar, Zeekr and Geometry.

Volvo and Polestar are Geely group brands already sold in Australia, while Lynk & Co has been confirmed to arrive by 2025.  

Brands from other big auto groups headed our way from China include GWM’s Ora EV and Tank SUV brands, and independent EV brand Nio.

It is understood that Geely Auto is not interested in using the existing Australian infrastructure of its related brands because its mainstream mass-volume ambitions don’t align with their prestige and luxury orientation.

Geely Auto hinted at an interest in coming to Australia in a 2021 media release outlining a massive global expansion called ‘Smart Geely 2025’, in which it briefly referred to a plan to enter the Asia-Pacific region.

“The Geely Auto brand will focus on developing the Eastern Europe, Middle East, Southeast Asia, and South America markets as well as introducing new energy products to EU and Asia-Pacific markets,” the releases stated.

New Energy in the Chinese definition means plug-in hybrids and electric vehicles.

Geely has recently trademarked Radar, Zeekr and Geometry in Australia, which might or might not be significant as brand names are sometimes protected in markets where they are never sold.

But just as feasibly Geely could sell the new Radar RD6 electric ute in Australia and the slick new Zeekr 001, instantly giving it a compelling EV presence.

Geely’s own range of models is comprehensive. Listed as part of the line-up on its global website are five new energy models (four PHEVs, one EV), 10 SUVs, seven sedans and a people-mover.

The latest models are far from the traditional basic Chinese fare. For instance, the same CMA architecture that underpins the Volvo XC40 is also used by various Geely compact models.

Geely Auto has more recently developed the BMA architecture for small vehicles.

It also has access to the SEA EV architecture developed for use by vehicles across the entire Zhejiang Geely Holdings group.

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