Geely and Ford Partner to Manufacture Electric SUVs in Spain

Ford Motor Company and Geely Auto are joining forces to produce electric SUVs at Ford’s facility in Valencia, Spain, beginning in 2028. This partnership leverages Ford’s existing manufacturing footprint to navigate evolving European Union regulations, marking a significant shift in how traditional automakers utilize their underused capacity through international collaboration.

Editorial·July 23, 2026·reads: 458

Geely and Ford Partner to Manufacture Electric SUVs in Spain

Ford will retain a 66% stake in the joint venture, which is designed to meet strict EU mandates regarding local content requirements for electric vehicles. By shifting production to Spain—currently the second-largest automotive manufacturing hub in Europe—the companies aim to capitalize on lower labor and energy expenses compared to other regional markets.

The collaboration centers on the development of a versatile crossover SUV engineered to support both fully electric and plug-in hybrid powertrains. For Ford, the deal provides a path to mitigate high production costs and idle plant capacity, while Chinese manufacturers like Geely secure a strategic foothold within the European market through established production lines.