Ford is in advanced negotiations to sell a portion of its Valencia, Spain, manufacturing plant to Geely.
Geely, the parent company of Volvo, is the prospective buyer. The deal involves Geely acquiring the Body 3 assembly lines.
The Chinese firm intends to produce new hybrid and all-electric models at the site. These vehicles will utilize Geely’s proprietary architecture.
The collaboration may extend to Geely manufacturing a vehicle for Ford using the same platform.
The divestment supports Ford’s strategy to restructure European operations and reduce costs. This move aims to increase competitiveness against low-priced electric vehicles from Chinese manufacturers.