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Ford and Geely Launch Electric SUV Production in Spain

Ford will transform its Valencia manufacturing site into a dual-purpose hub for electric vehicles, partnering with China’s Geely to produce the EX5 SUV starting in 2028. The deal grants Ford a 66% controlling stake in the venture, marking a strategic pivot to secure its footprint against intensifying competition from Chinese exporters.

Ford and Geely Launch Electric SUV Production in Spain

This collaboration repurposes underutilized floor space at the Spanish facility to meet tightening European local-content regulations. By manufacturing locally, the partners bypass the logistical constraints and trade hurdles currently pressuring international automakers. For Geely, the agreement serves as a vital entry point into the European market, establishing its first regional production base.

The initiative aims to revitalize the Valencia plant while providing Ford with a necessary bridge to maintain market share. As traditional automakers struggle to match the speed and cost-efficiency of Chinese rivals, this joint venture shifts the focus toward domestic assembly. Spanish labor and infrastructure now anchor a project intended to define the next phase of European automotive production.

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