Ford Explores Strategic Alliance with Geely to Utilize Excess European Production Capacity

Feb 5, 2026 (1 days ago)

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Ford is in early discussions with Geely regarding a potential partnership to share excess factory space in Europe, aiming for cost efficiencies.

Ford-Geely European Manufacturing Alliance Talks

Ford is in early talks with Geely to potentially share excess production space in Valencia, Spain, to utilize capacity2
This collaboration could allow Geely to avoid provisional European Union tariffs on imported Chinese electric vehicles2
The partnership is intended to help Ford achieve significant cost efficiencies by leveraging existing factory infrastructure2
CEO Jim Farley suggests such strategic alliances are necessary for Ford to out-think and out-innovate competitors in the market2

Ford will end production of the Escape and Lincoln Corsair SUVs as part of a plan to retool the Louisville assembly plant3
The retooled Louisville facility is scheduled to launch production of a new midsized electric pickup truck next year3
The company is overhauling its business strategy to place a greater focus on gasoline and hybrid powertrains moving forward3

Ford's overall sales declined by 5.3% in January compared to the prior year3
Electric vehicle sales plummeted significantly, dropping 69.2% year-over-year for the month3
Sales for smaller trucks remained strong, with the Ranger gaining 26% and the Maverick increasing by 13.2%3

GM views recent EV production pauses as a "blessing in disguise," enabling restructuring to meet current consumer demand1
GM plans to deploy new lithium manganese-rich battery chemistry to simultaneously increase range and lower EV manufacturing costs1
The company forecasts incurring gross tariff costs between $3 billion and $4 billion throughout the 2026 fiscal year1