Geely and Ford Join Forces for Europe: Agreement Signed for the Valencia Plant

Geely Auto and Ford have announced the creation of a production joint venture at Ford's plant in Valencia, Spain, aimed at producing vehicles for the European market. The agreement, which will require the necessary approvals from the relevant authorities, outlines the official start of operations in the first half of 2027.

The first vehicles produced by the new company will roll off the Valencia lines in 2028. According to the announced plans, the joint venture will manufacture three Ford models with various powertrains and two electric models branded Geely, the first of which will begin production in the same year.

Ford's Valencia plant, already considered one of the most advanced and productive in Europe, has a potential capacity of around 500,000 units per year. With the joint venture, the facility will transform into a high-tech shared production hub dedicated to manufacturing low and zero-emission vehicles.

According to the two companies, shared production capacity and development costs will improve operational efficiency and ensure greater long-term stability for the Spanish facility. The agreement also aims to create new job opportunities for the skilled workforce in Valencia. In terms of ownership, Ford will hold 66% of the new joint venture, while Geely Auto will own the remaining 34%.

"This strategic collaboration with Ford represents an important step towards open and mutually beneficial cooperation for both parties. It is a fundamental milestone in Geely Auto's global development and will further consolidate Geely's presence in Europe. We want to offer vehicles that European customers choose for their tangible value: top-tier features, high quality, and an active contribution to Europe's sustainable future," said Alex Nan, Vice President of Geely Auto Group.

For Geely, this operation is an important part of its international growth. In the first half of 2026, the Chinese group sold 474,228 vehicles in foreign markets, marking a 158% increase compared to the same period the previous year. The collaboration with Ford thus strengthens Geely's presence in Europe and allows it to directly produce two new electric models for European customers on the continent.

The partnership between the two automotive manufacturers fits into a collaborative relationship that dates back to 2010 when Ford sold Volvo Cars to Geely. Since then, the two companies have maintained cooperative relations, especially in component sourcing.

"For nearly 50 years, Valencia has produced some of the most beloved cars in our history, and now this team will help build our future," said Jim Baumbick, President of Ford Europe. "For this, we are developing a flexible and efficient industrial system together with a solid partner like Geely Auto. Together, we can fully leverage the potential of a great plant and the skills of its people, aligning ourselves with the new cost standards of the industry. All of this is part of Ford's vision: to offer European customers a rally-inspired driving dynamics, authentic off-road capabilities, and technologies for various types of powertrains, with the unmistakable DNA of the Blue Oval."