A Ford logo is seen at the New York International Auto Show Press Preview, in Manhattan, New York City, on March 27, 2024.
David Dee Delgado | Reuters
China automaker Geely will build electric vehicles at a Ford Motor plant in Spain under a new manufacturing joint venture in Europe, the companies announced Thursday.
Pending regulatory approvals, the companies said the joint venture will begin operations in the first half of 2027, with the first new vehicles scheduled to roll off the line in 2028. The Valencia, Spain, plant will continue to produce the Ford Kuga in the meantime, according to a news release.
The companies said Ford will own 66% of the joint venture, while Geely will have a 34% stake.
The announcement comes after months of reported talks between the two sides, as legacy automakers such as Ford attempt to compete with Chinese carmakers that have quickly been expanding into new markets outside of China for several years.
It also comes a day after a U.S. Senate committee approved legislation to toughen a ban on Chinese automakers entering the U.S.
Ford’s partnership with Geely stretches back to 2010, when it sold Volvo Cars to Geely, the companies said.
Ford CEO Jim Farley, who has complemented Chinese automakers for their speed and products, has previously said the automaker would be looking to partnerships to assist its global operations.
