Ford Announces the Next Phase of Its European Strategy

A new strategic partnership with Renault Group will combine industrial scale with Ford’s unique design expertise to deliver innovative and accessible electric vehicles.

Starting in 2028, Ford will introduce a new generation of “multi-energy” vehicles offering multiple powertrain solutions, standing out with the brand’s distinctive driving pleasure and digital experiences.

Ford is also calling on European regulators to align CO? targets with market realities to enable a successful and sustainable industrial transformation.

Ford announced today the next phase of its transformation strategy in Europe. Reinforcing the company’s commitment to individual and commercial customers, this step is built on agility, cost efficiency, and a clear brand promise. The European strategy rests on three pillars: strengthening the successful Ford Pro commercial vehicle business, expanding the passenger vehicle lineup with distinctive new models, and optimizing the production system to achieve scale and cost advantages.

To build a sustainable and profitable business model in Europe, Ford is launching a robust product offensive consisting of affordable multi-energy passenger vehicles and electrification-friendly commercial vehicles designed to support customers throughout their transition. With this strategy, Ford aims to enhance its competitiveness in a challenging market. The planned new models will enrich the current portfolio and enter showrooms in 2028.

Ford Motor Company President and CEO Jim Farley stated:

> “As an American company, we see Europe at the forefront of our industry’s global transformation. How we compete, innovate, collaborate, and invest here will define the playbook for the next generation. We believe in Europe’s future, but to reach it we must move faster and more efficiently than ever before.”

To accelerate this plan, Ford is taking the first step by establishing a strategic partnership with Renault Group. The partnership includes:

* Passenger Vehicles:

Under this collaboration, two new Ford-branded electric passenger vehicles will be developed on Renault’s Ampere platform. While benefiting from a shared architecture for efficiency, Ford will lead design and driving dynamics—ensuring the vehicles carry a fully Ford identity. The models will arrive in showrooms in 2028.

* Commercial Vehicles:

The two companies have signed a letter of intent to jointly develop and manufacture Ford- and Renault-branded light commercial vehicles using shared platforms to scale industrial efficiency.

This collaboration brings together the expertise, industrial scale, and supply power of two strong brands, delivering the efficiency and production capacity needed to compete in a highly dynamic market.

Ford Europe President Jim Baumbick commented:

> “Our plan is built around unleashing Ford’s strengths. We are forming strategic partnerships to improve competitiveness, but our real focus is product. These vehicles will deliver exceptional driving enjoyment, full connectivity, and stand-out design.”

Boosting Productivity for Commercial Customers with Data-Driven Solutions

Ford Pro continues to harness data to improve productivity for commercial customers, remaining the driving force behind Ford’s European operations. Going beyond vehicle sales, Ford Pro offers a comprehensive ecosystem of software and services that transform billions of data points into meaningful insights. With the FordLive uptime system, European businesses gained an estimated 820,000 additional vehicle-operating days in 2024 alone.

Built on Strong Partnerships and an Optimized Industrial Footprint

The newly announced partnership with Renault Group builds on Ford’s long history of successful collaborations in Europe, including those with Koç Holding and Volkswagen.

Ford Otosan—the joint venture with Koç Holding and one of the most successful partnerships in the industry—continues to create significant value for Ford’s European commercial vehicle business. Integrated into Ford’s European industrial ecosystem, Ford Otosan’s facilities support electric powertrain units produced following a £380 million investment at Ford’s Halewood plant in the UK, as well as advanced engine technologies supplied by Ford’s Dagenham facility.

Ford’s collaboration with Volkswagen plays a major role in strengthening both its commercial and passenger vehicle businesses. The current lineup of Ford electric vehicles developed under this partnership is produced at Ford’s 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 provide customers with more choice. The Valencia plant continues to play a critical role in building a stronger passenger vehicle portfolio for Europe.

Ford Calls for Constructive Policy Alignment

Ford’s European strategy is shaped around complying with evolving CO? emission regulations while offering customers affordable multi-energy options during the electrification transition. Electric vehicles currently account for 16.1% of the European market—a figure significantly below the EU’s target that 25% of all new vehicles sold in 2025 be electric.

Baumbick explained:

> “We must ensure that everyone benefits from electrification and that customers have the freedom to choose—whether fully electric or hybrid. The goal is to make the transition more appealing and accessible for all consumers and businesses—encouraging demand, not forcing it.”

To support a successful transition to electrification, Ford proposes a three-step approach:

1. Aligning targets with market realities.

CO? targets should adapt to the pace of market transition and offer manufacturers a predictable 10-year planning horizon. This includes allowing customers to rely on hybrid vehicles for longer, easing the transition instead of forcing rapid change.

2. Incentivizing the transition.

European manufacturers have invested billions of euros in EVs. Governments should support these efforts with consistent purchase incentives and a charging infrastructure that extends beyond major cities into rural regions.

3. Supporting the real economy.

The current approach to commercial vehicle emissions imposes a heavy burden on the backbone of Europe’s economy. Only 8% of newly purchased commercial vehicles are electric. These are essential work tools for electricians, florists, and builders. Aggressive CO? targets for commercial vehicles risk unfairly penalizing the small and medium-sized enterprises that generate over 50% of Europe’s GDP.