Ford is doubling down on Europe and teaming up with China’s Geely at a struggling Spanish plant, a move that has Detroit talking and at least one Michigan lawmaker fuming.
The two automakers have unveiled a Europe-focused manufacturing joint venture at Ford’s Valencia, Spain, facility that will build a new generation of low- and zero-emission multi-energy vehicles for European buyers. If regulators sign off, the partners expect the venture to start operating in the first half of 2027 and to have fresh models rolling off the line in 2028, while production of the Ford Kuga continues at the site. The news dropped today and quickly made its way to Washington and Detroit, where it sparked immediate political pushback in the United States.
What the joint venture will build
Under the proposed deal, Ford will own 66% of the new company, and Geely Auto will hold the remaining 34%. The JV would use Ford’s Valencia plant to build models for both brands and put the facility’s roughly 500,000-vehicle annual capacity to fuller use. Company materials describe an all-new Ford multi-energy family crossover that is being jointly developed with Geely, a new Europe-spec Bronco and two Geely-branded electric SUVs targeted for 2028. Ford says the tie-up will help it bring five new passenger vehicles to Europe by 2029, pending approvals, according to Ford Motor Company. While those programs spin up, the Valencia plant will keep building the Kuga.
U.S. politicians sound alarm
Rep. John Moolenaar (R–Mich.) did not hold back. He called the decision "incomprehensible" and warned that "Ford is actively helping the Chinese Communist Party advance its ambitions to dominate global automotive supply chains and increase the world's dependence on China," according to a statement cited by The Detroit News. His comments tap into a wider, ongoing fight in Congress over Chinese investment and technology licensing in critical supply chains. Ford and Geely, for their part, have leaned on the economic case in public remarks, arguing that the JV preserves work in Valencia and speeds up product development.
Local reaction and jobs
In Valencia, coverage has been far more upbeat. Local reporting said the move is meant to lift output at the Almussafes complex to five models and push the factory back toward full capacity, according to Valencia Plaza. The companies say Spain’s national and regional governments have been involved in backing the plan as part of broader industrial and employment goals. Executives have also stressed that the JV will rely on the plant’s existing workforce rather than importing labor, a key local concern whenever a new foreign partner enters the picture.
Supply-chain context
The deal lands as automakers search for scale and lower costs across Europe, especially in electrified vehicles. In a separate move in the United States, Ford has agreed to license battery technology from Contemporary Amperex Technology Co. Ltd. (CATL) for a lithium-iron-phosphate battery plant in Marshall, Michigan, a decision that has already drawn scrutiny from U.S. lawmakers, according to Car and Driver. The new partnership with Geely also leans on a long corporate history: Ford sold Volvo Cars to Geely in 2010, a connection highlighted in company statements from Geely Auto.
What’s next
Pending local and European regulatory approvals, the partners expect the joint venture to begin operations in the first half of 2027 and to start building several new models in 2028, Reuters reporting noted. If it clears that hurdle, the deal would reshape one of Spain’s largest auto plants and further tighten industrial ties between a major U.S. automaker and a fast-growing Chinese group.
