Ford and Geely Forge European Partnership, to Produce Cars in Spain

Ford and Geely Automobile Holdings are joining forces to create a new joint venture at Ford's Valencia manufacturing facility in Spain. This strategic alliance will focus on producing multi-energy passenger vehicles for the European market under both Ford and Geely brands, aiming to offer a wider selection of products and a stronger value proposition.

The European automotive landscape is intensely competitive, marked by stringent regulations, high operational costs, and evolving global rivals. By combining their production volumes, Ford and Geely intend to optimize the Valencia plant's capacity, drive down manufacturing costs to competitive levels, and meet the industry's new cost standards. This collaboration also seeks to bolster the Valencian economy while delivering vehicles with world-class multi-energy technologies.

Geely Auto Group Vice President Alex Nan highlighted the partnership as a key part of their growth strategy, emphasizing a collaborative product development approach. "We are producing cars for Europe, in Europe, with a reliable partner," Nan stated, underscoring a commitment to strengthening their European presence and serving customers with vehicles that blend advanced features, high quality, and contributions to Europe's green future.

Under the proposed structure, Ford will hold a 66 percent stake in the new entity, while Geely Auto will own 34 percent. The Valencia plant, operational since 1976, boasts a potential annual capacity of approximately 500,000 vehicles. Ford Europe President Jim Baumbick is also mentioned in relation to the new vehicle portfolio. The joint venture is anticipated to commence operations in the first half of 2027, with the first new vehicles scheduled for production in 2028. Ford's Kuga model will continue to be produced at the Valencia plant without interruption during this transition.

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We are producing cars for Europe, in Europe, with a reliable partner.