The European expansion of Chinese car manufacturers is in its early stages, and already, local production is growing rapidly. Within the next decade, as many as 1.5 million vehicles from Chinese brands could be built in Europe annually.

This year, Chinese brands like BYD, Leapmotor, and Chery are expected to manufacture approximately 90,000 of these vehicles in Europe, either in new factories or existing ones that have been underutilized. Global Mobility expects this figure to grow to 1 million units annually by 2030 and 1.5 million by 2035.

Read: The Chinese Brand That Didn’t Exist In Britain A Year Ago Just Outsold Honda And Mazda Combined

However, lawmakers in Europe are eager to ensure that brands don’t exclusively rely on Chinese parts when building new vehicles, and instead work with local suppliers. They’re doing this through the Industrial Accelerator Act (IAA), which aims to strengthen Europe’s industrial base and boost domestic manufacturing.

Chinese, But With European Parts

Details are still being ironed out, but the act is expected to introduce quotas for European parts to be used in vehicles manufactured across the continent. Without this act, “the main risk is that China will open pure assembly plants for Chinese components in the EU – with minimal economic added value for the Europeans,” economist Sander Tordoir said.

BYD will soon start production of its cars in Hungary and is also looking to add a plant in Spain to its local portfolio. In addition, several Jaecoo and Omoda vehicles are being built in Spain, and soon, Leapmotor will also start building EVs at the Stellantis site in Zaragoza. Geely will also manufacture vehicles in Valencia through a partnership with Ford.

The key reason Chinese brands are building locally is to avoid paying hefty import tariffs. However, if the IAA enforces car companies to increase their reliance on European suppliers and manufacture more components locally, brands like BYD, which have a high degree of vertical integration, will have to consider if the investments are worthwhile.

“Because, to be considered ‘Made in Europe,’ large parts of the components, including the battery, would then have to be manufactured locally,” Gregor Williams from the Rhodium Group think tank told Automobilwoche.

Earlier this year, China’s Luxeed brand made a claim it didn’t expect to have to back up, announcing that the RX, its answer to the Xiaomi YU7, had been penned by a former Ferrari designer. Ferrari’s Chinese arm read that and asked the obvious follow-up question, which was, fine, what’s his name? Luxeed has supplied one, and while it was at it, the company also put a starting price on the electric SUV.

The name came from Zhao Changjiang, executive director and executive vice president of Luxeed, in a Weibo post rounding up the brand’s latest progress. The designer is Werner Gruber, and the resume holds up. He spent time at Ferrari and worked on the LaFerrari, the FXX-K, and the Portofino, which is a strong set of credits. While the RX certainly has plenty of similarities to other performance SUVs like Ferrari’s own Purosangue and the Xiaomi YU7, there’s no denying it looks nice.

Read: China Built A 585-HP EV That Looks Like A Ferrari And Sounds Like A Lexus

Luxeed was created through a partnership between Chery and Huawei, and pre-sales of the RX kicked off in China earlier this week. Prices start at 299,800 yuan ($44,550), making it more expensive than the YU7, which starts at 253,500 yuan ($37,700), yet compared with the prices we pay for high-performance electric SUVs in the West, the RX remains relatively cheap.

Several versions are available, provided with 81.1 kWh, 100.25 kWh, and 100.42 kWh battery packs. Entry-level models feature a single rear-mounted electric motor producing 371 hp, while power-hungry buyers can also order the RX with dual motors producing 586 hp and all-wheel drive.

A Chassis From AMG’s Former Boss

It’s not just impressive performance that could win over buyers. The RX also comes equipped with 38 sensors, including four LiDARs, enabling autonomous driving between addresses. Importantly, the system officially remains at Level 2, so drivers will need to remain attentive and ready to take over control at a moment’s notice.

As it turns out, Gruber isn’t the only European industry veteran to have a hand in bringing the RX to life. In the same social media post, Zhao said that former Aston Martin chief executive and ex-AMG boss Tobias Moers tuned the chassis in a new role as chief dynamic performance advisor for the Luxeed brand, and added that former BMW engineers have joined the effort as well.

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