Geely and Ford Partner to Manufacture Electric SUVs in Spain

The partnership leverages a history between the two companies dating back to Geely’s 2010 acquisition of Volvo Cars from Ford. By shifting production to Valencia, Geely effectively addresses European Union requirements for local content in electric vehicles, a move that bypasses potential legislative barriers currently complicating Chinese expansion into the U.S. market.

Spain remains a strategic choice for this collaboration, serving as Europe’s second-largest automotive producer. The project offers a dual advantage: Ford maximizes its existing footprint in a cost-effective manufacturing hub, while Geely secures a long-term foothold within the European market. Production is scheduled to begin in four years, signaling a shift in how legacy Western automakers integrate with Chinese technology to maintain competitive scale in the electric vehicle sector.