Ford today announced the next phase of its transformation strategy in Europe. This step strengthens Ford’s commitment to individual and commercial customers and is built on agility, cost efficiency, and a clear brand promise. Ford’s European strategy is built on three pillars: further strengthening the successful Ford Pro commercial vehicle unit, expanding the passenger vehicle lineup with unique new models, and enhancing its production system to create scale and cost advantages.

Towards building a sustainable and profitable business model in Europe, Ford is launching a strong product offensive consisting of affordable multi-energy passenger vehicles and commercial vehicles that will support customers on their electrification journey. This strategy will also strengthen Ford’s competitiveness in this challenging market. The planned new models will enrich the existing product line and will be in showrooms in 2028.

“As an American company, we see Europe at the forefront of our industry’s global transformation,” said Jim Farley, President and CEO of Ford Motor Company. “How we compete here, our innovations, our collaborations, and our investments will define the game plan for the next generation. We believe in Europe’s future, but to achieve it, we need to move faster and more efficiently than ever before.”

As a first step to accelerate this plan, Ford is forming a strategic partnership with Renault Group. The partnership encompasses:

• Passenger Vehicles: Under this partnership, an agreement has been reached for two new Ford-branded electric passenger vehicles, built on Renault’s Ampere platform. The vehicles will arrive in showrooms in 2028. Leveraging a common architecture for efficiency, Ford will lead the design and driving dynamics, ensuring these vehicles embody the true Ford spirit.
• Commercial Vehicles: The parties signed a letter of intent to explore the joint development and production of Ford and Renault-branded light commercial vehicles to increase industrial scale using shared platforms.

This partnership brings together the expertise, industrial scale, and supply strength of two powerful brands, providing the efficiency and production scale necessary to compete in a highly dynamic market.

“Our plan is to unlock the strengths of Ford,” said Jim Baumbick, President of Ford of Europe. “We are forming strategic partnerships to enhance our competitiveness, but our primary focus will be on the product. These vehicles will be fun-to-drive, fully connected, and stand out from the competition.”

Boosting Productivity for Commercial Customers with Data-Driven Solutions
Ford Pro continues to leverage data to increase productivity for commercial customers and remains a driving force of the company’s European business. Ford Pro goes beyond simply selling vehicles and offers a comprehensive ecosystem of software and services that transforms billions of vehicle data points into meaningful insights. With its FordLive uptime system, Ford Pro has delivered an estimated 820,000 additional vehicle usage days to European businesses in 2024 alone.

Building on a history of strong partnerships, an optimized industrial footprint
The partnership we announced with Renault Group continues our history of successful collaborations with Koç Holding and Volkswagen in Europe. Leveraging shared platforms, we are developing innovative, accessible, and unique vehicles that embody the Ford spirit.

Our joint venture with Koç Holding, Ford Otosan, is one of the most successful collaborations in the industry, adding significant value to our European commercial vehicle business. Ford Otosan facilities, integrated with Ford’s European industrial infrastructure, are supported by electric powertrains produced following a £380 million investment at the Halewood plant in England and advanced engine technology from the Dagenham plant in England.

Our collaboration with Volkswagen significantly strengthens both our commercial vehicle and passenger vehicle businesses. Ford’s existing electric vehicle lineup, developed under this partnership, is being produced at our new electric vehicle center in Cologne, Germany.

At the same time, Ford is transforming its European manufacturing operations to support the transition to multi-energy vehicles and offer customers greater choice. Ford’s Valencia plant continues to play a critical role in its plan to build a stronger passenger vehicle portfolio in Europe.

Ford Calls for Constructive Policy Alignment
Ford’s European strategy is focused on adapting to evolving CO₂ emissions regulations and offering customers affordable, diverse energy options during the electrification transition. The share of electric vehicles in Europe stands at 16.1%. This figure falls well short of Europe’s 2025 CO₂ target of 25% of new vehicles being electric.

“We must ensure everyone benefits from electrification and give customers choice—whether it’s a fully electric vehicle or a hybrid,” said Baumbick. “The goal is to ensure that the transition continues throughout the transition.”

“To make it more attractive and accessible to all consumers and businesses; to encourage demand rather than force it.” Ford proposes three phases for a successful transition to electrification.

1. Align targets with reality. CO₂ targets should be aligned with the pace of market adoption, and manufacturers should be given a credible 10-year planning perspective. This includes giving consumers the option to use hybrid vehicles for longer; we should facilitate the transition, not force them to make a leap they are not ready for.
2. Incentivize the transition. Manufacturers across Europe have invested billions of euros in electric vehicles. Governments should support this effort with consistent purchasing incentives and a charging infrastructure that extends beyond major cities to rural areas.
3. Support a functioning economy. The current approach to commercial vehicles is placing an economic burden on Europe’s backbone. Only 8% of new commercial vehicles purchased are electric. These vehicles are workhorses for plumbers, florists, and builders. Aggressive CO₂ targets for commercial vehicles unfairly penalize small and medium-sized businesses, which generate over 50% of Europe’s GDP.