Ford Motor Company (F) has announced a collaboration with France’s Renault (RNLSY) to jointly develop affordable electric vehicles (EVs) in Europe. This partnership comes as Ford’s passenger-car share in the region has nearly halved since 2019, necessitating a strategic move to compete in the EV market against increasingly popular low-priced models from Chinese manufacturers. The first Ford-branded models are projected to be available in early 2028, utilizing Renault’s Ampere platform for cost-effective production.
Manufacturing will occur in northern France within Renault’s ElectriCity network, enabling Ford to significantly reduce upfront investment risks associated with launching a new EV line. This alliance also enhances Ford’s EV offerings and lowers operational costs, particularly critical amidst decreasing U.S. government support for EV development. The agreement may also pave the way for future partnerships focused on light commercial vehicles.
In related news, General Motors (GM) is pursuing similar partnerships, collaborating with Hyundai to co-develop five vehicles designed for the Americas, with launches planned starting in 2028. Ford’s shares have increased by 38% year to date, outpacing the industry’s average gain of 16%.
