Ford announced plans to build a rugged new Bronco and an electric crossover with China’s Geely as part of a new alliance.
Ford and China’s Geely to build EVs in Europe
The rumors turned out to be true. After a report from Spanish media outlet La Tribuna de Automoción claimed in May that Ford and Geely were in “very advanced” talks to co-produce vehicles at its Valencia factory in Spain, it’s now official.
Ford and Geely announced a new joint venture on Thursday to manufacture new energy vehicles for Europe at the Valencia plant.
The partnership will make use of underutilized capacity at the facility, with the potential to produce around 500,000 vehicles a year.
By pooling production volume in Valencia, Ford and Geely plan to “lower the cost of every vehicle built there” to compete with the influx of lower-priced EVs from Chinese automakers like BYD and MG.
While it still has a few regulatory hurdles to clear, under the proposed agreement, Ford would own 66% of the new JV, leaving Geely with the remaining 34%.
The two will develop, engineer, and manufacture new Ford and Geely electric and plug-in hybrid vehicles custom-tailored for European buyers.
Ford-branded vehicles will include a rugged new Bronco and a multi-energy electric crossover, while Geely plans to produce two new electric SUVs at the Valencia plant.
If approved, Ford and Geely will begin producing vehicles at the facility in the first half of 2027. The first vehicles are scheduled to roll off the production line in 2028. Ford said the Kuga, one of the top-selling plug-in hybrids in Europe, will remain in production at the facility in the meantime.
Ford previously said the new Bronco will be offered across different multi-energy powertrains, including a plug-in hybrid (PHEV) variant.
The crossover will also be a multi-energy vehicle, arriving in 2028. It’s expected to use Geely’s GEA (Global Intelligent Electric Architecture) platform with expected EV and PHEV variants.
One of Geely’s new electric SUVs is expected to be the E2, a rebadged version of the EX2, China’s best-selling electric car in 2025.
Jim Baumbick, president of Ford Europe, said: “We chose a partner willing to invest alongside us in European manufacturing and to compete on a level playing field, building in Europe, for Europe, and playing by the same rules we do.”
“We don’t have time to wait for policymakers to finish debating reforms,” Baumbick added. “We are acting now to build a competitive industrial system that strengthens European manufacturing rather than sidesteps it.”
Ford suggested the JV with Geely could involve more, saying the new vehicles will deliver “outstanding digital experiences.”
A Reuters report earlier this year claimed Geely and Ford held talks about sharing new technology, such as automated driving and other advanced driver-assistance systems (ADAS).
Electrek’s Take
The new joint venture looks like a win-win for Ford and Geely. For Ford, it will give it access to Geely’s platforms, software, and other related tech, while making use of the underutilized space at its Valencia plant.
Ford is leaning further into partnerships, including with Volkswagen and Renault, to revamp the brand in Europe.
For Geely, the alliance will help it avoid the EU’s 18.8% tariffs on imported electric vehicles from China, while providing it a local production base to accelerate its global expansion.
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