Ford Motor Company and Geely Automotive Holding Ltd. have unveiled plans for a new joint venture at Ford’s Valencia plant in Spain. This collaboration aims to boost both brands’ presence in Europe, focusing on new energy vehicles and leveraging shared manufacturing capabilities. The venture is set to begin operations in 2027, with the first co-developed models expected in 2028.
Joint Venture Details and Timeline
The newly announced joint venture will be based at Ford’s Valencia facility, one of Europe’s largest automotive plants with an annual capacity of approximately 500,000 vehicles (~310,700 miles). Ownership will be split, with Ford holding 66% and Geely Auto 34%.
Pending regulatory approval, the joint venture is scheduled to commence operations in the first half of 2027. The first new model from this partnership is expected to roll off the assembly line in 2028.
Manufacturing and Product Plans
The Valencia plant will continue producing the Ford Kuga while expanding its output to include several new models. Among the launches planned for 2028 are a new rugged compact SUV joining the Ford Bronco family and a brand-new Ford crossover, which will be designed by Ford and jointly developed with Geely.
Geely will also introduce two new energy vehicles at the plant, starting in 2028. One of these will be the EX2, known in China as the Geely Xingyuan, a top-selling model in its home market.
Geely’s European Expansion
This partnership aligns with Geely’s broader strategy to expand its presence in Europe, particularly with new energy vehicles (NEVs) and plug-in hybrids (PHEVs). In the first half of 2026, Geely Automotive reported overseas sales of 474,000 units, marking a significant 158% year-on-year increase.
Competitor Comparison
The Ford-Geely joint venture enters a European market where established players like Volkswagen, Stellantis, and Renault are also ramping up their EV and PHEV offerings. Geely’s move to localize production and Ford’s continued investment in European manufacturing position the partnership to compete directly with these major automakers, especially as demand for electrified vehicles continues to rise.
Why this matters
The collaboration between Ford and Geely represents a significant step in the ongoing transformation of the European automotive industry. By sharing resources and expertise, both companies aim to accelerate the rollout of new energy vehicles and improve manufacturing efficiency.
Geely’s rapid overseas growth and Ford’s established European presence could create new opportunities for consumers and further intensify competition in the region’s EV and PHEV markets.
What this means for buyers
For European buyers, the joint venture promises a broader selection of electrified vehicles from both Ford and Geely starting in 2028. Consumers can expect new models with localized production, potentially leading to more competitive pricing and improved availability.
Buyers interested in upcoming EVs and PHEVs should watch for announcements on the new Bronco family SUV, the Ford-Geely crossover, and Geely’s EX2 as the joint venture progresses toward launch.
Key Specs
- Joint Venture Ownership: Ford 66%, Geely Auto 34%
- Valencia Plant Annual Capacity: 500,000 vehicles (~310,700 miles)
- Joint Venture Start Date: First half of 2027 (pending approval)
- First New Model Launch: 2028
- Geely Overseas Sales (H1 2026): 474,000 units
- Geely Overseas Sales Growth (YoY): 158% increase
Source
Images sourced from: carnewschina.com, evdances.com, geely.am
