Stock Markets May 6, 2026 08:45 AM

EBRO Aims for Up to 30,000 Cars from Barcelona Facility, Anticipates Return to Profit

Joint-venture with Chery could contribute to production as EBRO targets doubling last year’s deliveries and moving back to profitability

By Hana Yamamoto

EBRO plans to produce between 25,000 and 30,000 vehicles in Barcelona this year, potentially about twice last year’s volume, and expects to be profitable after a 16.3 million euro net loss in the prior year. The company, which resumed activity in 2024 after a long hiatus, owns 60% of a joint venture with Chery that will use a former Nissan plant; Chery production is slated to start by year-end or in the first quarter of 2027 and a Chery electric vehicle will be built at the site.

EBRO Aims for Up to 30,000 Cars from Barcelona Facility, Anticipates Return to Profit

Key Points

  • EBRO plans to manufacture between 25,000 and 30,000 vehicles in Barcelona this year, potentially doubling last year’s deliveries; this impacts the automotive manufacturing and industrial employment sectors.
  • EBRO holds a 60% stake in a joint venture with Chery to operate a former Nissan plant in Barcelona; Chery production is expected by year-end or in Q1 2027 and a Chery electric vehicle will be built at the site, affecting the electric vehicle supply chain and trade-sensitive manufacturing.
  • After a net loss of 16.3 million euros last year, EBRO expects to return to profitability this year supported by stronger sales, which has implications for company finances and investor sentiment in the auto sector.

Spanish automaker EBRO has set a production target of 25,000 to 30,000 vehicles at its Barcelona plant for this year, potentially roughly doubling the volumes it delivered last year, Chairman Rafael Ruiz said on Wednesday. The company, which halted sales in 1987 before relaunching in 2024, currently manufactures four models and recorded sales of about 14,000 vehicles in the previous year.

EBRO holds a 60% stake in a joint venture with Chinese automaker Chery to produce cars at a former Nissan facility in Barcelona. Ruiz told reporters that Chery intends to begin manufacturing at the site either by the end of this year or during the first quarter of 2027. He said the stated production target of up to 30,000 cars for this year may include vehicles from Chery.

Addressing delays in the start of Chery production, Ruiz confirmed that a Chery electric vehicle will be manufactured in Barcelona and attributed the postponements to commercial factors, specifically citing European Union tariffs on Chinese-made electric vehicles as one of the issues influencing timing.

Ruiz described the partnership with Chery as "magnificent" and explained operational sequencing at the plant: "We have given priority to the EBRO vehicles to launch them as soon as possible industrially and we have been sequencing the capacity that we have had." He noted that the Barcelona facility directly employs 1,600 people and has an installed annual capacity of up to 200,000 cars.

Following a net loss of 16.3 million euros in the prior year, EBRO expects to return to profitability this year on the back of stronger sales, Ruiz said. The company’s plan to materially increase output in Barcelona, combined with the joint-venture arrangement, underpins management’s forecast for improved financial results.


Context and implications

The production plan reflects a rapid scaling effort at a recently relaunched automaker and relies in part on a joint venture with a Chinese manufacturer to expand model availability and capacity utilization. The sequencing of capacity toward EBRO models and the timing of Chery production are cited as operational priorities and constraints.

While management projects a return to profit driven by higher sales volumes, the pace and mix of production will be influenced by commercial considerations, including tariff dynamics that have affected the schedule for Chery-built electric vehicles.

Risks

  • Delays in the commencement of Chery production have been attributed to commercial factors, including European Union tariffs on Chinese-made electric vehicles - this poses a risk to the timing and composition of planned output and affects the electric vehicle and trade-sensitive manufacturing sectors.
  • The company has been sequencing limited production capacity and prioritizing EBRO-branded models, which introduces uncertainty around whether the full production target will be met and impacts operational execution and capacity utilization in the automotive manufacturing sector.
  • The production target of up to 30,000 cars may include Chery models, creating uncertainty about how much of the target will come from EBRO’s own models versus partner models, which could influence revenue mix and market positioning in the auto sector.

More from Stock Markets

DeepSeek in Talks with State-Backed Investors at Roughly $50 Billion Valuation May 6, 2026 Barclays Lowers Rating on Abercrombie & Fitch, Citing Intensifying Competition and Margin Risks May 6, 2026 Rush Street Interactive Stock Drops After Large Secondary Offering Is Priced May 6, 2026 Oklo Gains After NRC Fast-Tracks Safety Criteria for Aurora Project May 6, 2026 Airlines Respond to Sharp Jet Fuel Spike With Fares, Surcharges and Guidance Cuts May 6, 2026