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Geely Reportedly Near Deal for Part of Ford’s Valencia Plant to Build EU EVs

The move would let Geely sidestep EU import tariffs by building cars in Spain.

Overview

  • Reports published Wednesday by Spanish outlet La Tribuna de Automoción, echoed by Reuters and others, said Geely agreed to buy the idle Body 3 hall at Ford’s Almussafes plant in Valencia.
  • Industry sources say Geely plans to produce vehicles on its GEA platform at the site, with the EX2 small electric crossover named as the likely first model for Europe.
  • The talks reportedly include Geely building a Ford-badged vehicle on the same Geely architecture at the Valencia facility.
  • Ford responded that nothing is finalized and called the coverage speculation, while Geely has not confirmed the deal.
  • Local reports say Geely has already contacted suppliers near Valencia, and producing in Spain would avoid the EU’s 18.8% tariff on Chinese-made electric cars.