Overview
- A deal announced Monday between Ford and Geely gives Geely a 34% stake in Ford’s Almussafes (Valencia) plant for €221 million and creates a joint unit to produce electrified models from 2028.
- Spain now hosts more than half a dozen Chinese-linked projects including Chery/Ebro production in Barcelona, SAIC plans in Ferrol, CATL-Stellantis batteries in Figueruelas, and proposals from Leapmotor and Changan.
- Most Chinese operations in Spain are set up as local assembly using Europe-made components to meet rules-of-origin thresholds and avoid EU import tariffs on Chinese EVs.
- Legacy European groups are reacting with a mix of partnership talks and restructuring plans, with Volkswagen publicly exploring Chinese collaborations while preparing factory and job cuts.
- Spanish national and regional leaders and employer groups are actively courting Chinese investment to preserve jobs and boost plant use, a move that could reshape regional supply chains and competition for years.