Mobility disruption and design: Thatcham Research hosts Chery showcase

Thatcham Research has underlined the pace of transformation within the global mobility sector during a two-day showcase at its facility in Berkshire, welcoming representatives from Chinese automotive brands Chery, Omoda and Jaecoo.

The event marked a significant milestone in the evolution of emerging OEMs in the UK market. Just over a year since Omoda and Jaecoo made their debut on British roads, the dual-brand operation has already surpassed a three per cent market share. Their parent company, Chery, now joins the UK market with a broader product portfolio and ambitious expansion plans.

Accelerated growth and product evolution

Founded in 1997, Chery has developed an international footprint with vehicles now present in over 100 countries. More than two million Chery-branded vehicles are expected to be on the road by the end of 2024.

Its arrival in the UK market is anchored by two core models: the Tiggo 7 and Tiggo 8. The Tiggo 7 is a compact SUV, while the Tiggo 8 is a seven-seater. Both are offered in Aspire and Summit trims, with petrol and plug-in hybrid powertrain options. Safety and connectivity are central to the design, with both models equipped with a comprehensive ADAS suite and 540-degree camera coverage. Structurally, the Tiggo 7 comprises 60% high-strength steel, while the Tiggo 8 is built with 74% high-strength steel and aero-grade aluminium.

Chery’s UK retail footprint currently comprises 25 locations, with plans to triple that number to 75 by 2026. Supporting the aftermarket, a central distribution centre already holds more than £2.2m worth of parts, with further investment expected to scale operations in line with vehicle demand.

Also featured during the event were the upcoming Jaecoo 5 and Omoda 9 models. Omoda and Jaecoo continue to operate as independent entities, each with their own retail and aftersales networks.

Industry insight and regulatory context

Opening the event, Ben Townsend, Head of Automotive at Thatcham Research, highlighted the significance of the brands’ arrival.

“In little over a year, the Jaecoo and Omoda brands have tipped over 20,000 vehicles registered on UK roads,” said Ben. “In August alone, the Jaecoo 7 recorded 1,367 new registrations, placing it seventh in the top 10 for the month, according to SMMT data. These products are now firmly establishing themselves in the marketplace. As an industry, we must ensure we fully understand them”.

Ben led a session during the day that examined the broader mobility landscape, focusing on the pressures facing OEMs and the insurance sector alike. He described an environment shaped by increasing regulation, rising production costs and shifting consumer behaviours.

“Are vehicle manufacturers having a hard time? The short answer is yes,” he said. “One manufacturer recently claimed it’s now impossible to produce a vehicle in Europe for less than €20,000. That restricts viable offerings to the B and C segment – and even those could become unsustainable within five years”.

Regulatory pressure and cost inflation

Tracing the regulatory journey, Ben noted the long history of legislative change – from the Road Traffic Act 1960, through the introduction of the British Insurance Association’s first rating system, to the transformational General Safety Regulations and ongoing sustainability and emissions targets.

“The challenge for manufacturers is that design is no longer driven by consumer or insurance needs, but by regulation,” he said. “Globally, vehicles are being designed for regulators. Insurance, in many conversations, barely gets a mention”.

In addition to regulatory strain, Ben identified inflation as a core concern. Comparing the average cost of a 2015 petrol car to its 2025 equivalent, he noted a 67% price increase – excluding the additional premium carried by electric vehicles.

This affordability gap has made the market more accessible to new entrants. “Previously, entering the market with a new brand would not have been viable,” he said. “Now it’s a very attractive proposition.”

Changing ownership and impact on used vehicles

Consumer purchasing patterns have also evolved. “In 2015, more than half of vehicles were bought outright by retail customers. Today, the majority are acquired through PCP, leasing or fleet agreements,” said Ben. “This shift is driven by affordability and a focus on monthly payments.”

The implications of this are still being understood. “We’ve seen a fundamental change in how used vehicle pricing works. Large numbers of fleet or lease vehicles are now returning to the market after three years, impacting residual values”.

This disruption, Ben argued, is causing manufacturers to reassess everything from product design to sales strategies. And while insurance may have slipped down the priority list for OEMs, it is beginning to resurface as a critical consideration – particularly in a finance-driven marketplace.

Driving insurability into vehicle design

One key area of focus for Thatcham Research is ‘insurability’ – integrating insurance considerations directly into vehicle development. Ben explained that the industry is undergoing a shift from static risk ratings to a dynamic, embedded model underpinned by the new Vehicle Risk Rating (VRR). This includes deeper analysis of damageability, repairability, parts availability and vehicle lifecycle.

“We need to reframe insurance as a design attribute – just like safety,” he said. “The Euro NCAP five-star safety rating became a benchmark because it was embedded into the design process. Insurability must follow the same path.”

To support this, Thatcham Research now provides design consultancy to OEMs, engaging at the earliest stages of development. This allows meaningful influence on core vehicle architecture, long before production begins.

Historically, said Ben, Thatcham Research became involved late in the process – often assessing vehicles just three months before public launch. “At that point, it’s too late to change core structures,” he noted. “But if we engage at concept stage, we can provide significant value at low cost and help manufacturers avoid expensive design mistakes”.

Case study: design influence in practice

To illustrate the benefits of early engagement, Ben shared a case study involving a front subframe design presented by a manufacturer. The structure included a welded crash component – intended to absorb damage during impact – which was attached directly to the subframe.

“In an accident, even at just 8km/h, this design would require complete subframe replacement,” he explained. “That’s an example of a high-cost repair that could have been avoided with earlier consultation.” He highlighted how an agreed alternative bolt-on component provided a far more cost-effective and simple solution with no compromise to structural integrity.

The aim, he said, is to create long-term partnerships where Thatcham Research is embedded in the design lifecycle. This includes navigating complex commercial arrangements – such as the recent framework agreement with Chery – to facilitate technical collaboration.

“Getting to a working contractual position with Chinese manufacturers is challenging,” Ben acknowledged. “But we now have an agreement in place that gives Chery engineers access to our team. The next step is ensuring we have the right product set to support that relationship”.

Global platforms, local risk

A final focus of the session was on global platform influence. As Chinese OEMs design vehicles for international markets, Thatcham Research is working to ensure that risk levels are aligned with UK requirements.

“If low-risk vehicles aren’t being built in China, we won’t see them in the UK,” said Ben. “Our goal is to influence design on a global level to ensure the vehicles that reach British roads are repairable, insurable, and sustainable.”

Hands-on insight and collaboration

In addition to presentations and technical discussion, the event provided attendees with a practical opportunity to explore the vehicles first-hand. Vehicles were partially stripped to highlight repair and structural considerations, and guests were invited on road tests led by Thatcham Research engineers. These sessions showcased not only driving characteristics but also the embedded safety and ADAS technologies present in each model.

Learn more on AIQ
More in-depth analysis, insights and research are available via Thatcham Research’s Automotive Intelligence Platform, AIQ.
AIQ includes a recently published report into the ADAS performance of the Chery Tiggo 8, one of the vehicle featured in their latest Chery showcase. The report provides an overview of its assist system, speed limit information system, lane support system, and adaptive cruise control, rating the performance
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