Ford balances Chinese exports to Europe with local production plans
As carmakers in Europe look at ways to compete with Chinese electric vehicle imports, Ford is balancing plans for greater localised production in Europe while continuing exports from China in collaboration with local partners.
Ford has started exporting the Ford Transit City light commercial vehicle, made at Jiangling Motors’ Xiaolan joint venture plant, to Europe
Ford
Ford has said it will manufacture five new passenger vehicles in Europe for the local market by the end of 2029. At the same time, the automaker is planning joint production with Chinese vehicle maker Geely at the Ford Valencia assembly plant in Spain, which will include two Geely electric SUVs.
Last year, Ford China exported 184,000 vehicles to other countries from its joint venture operations in China, up 9% increase year-on-year. Online car sales and comparison platform AutoNext, reports that the Territory, Ranger and Transit models accounted for the main volume, while and the Edge, Nautilus and Mondeo joined the export list in 2025. By contrast, the joint venture Changan Ford sold 99,400 cars in 2025 against 247,000 a year earlier meaning Ford now exports more from China than Changan Ford sells there.
Ford has just started exporting the Ford Transit City light commercial vehicle, which is made at Jiangling Motors’ Xiaolan joint venture plant, with the first 1,000 units already dispatched. It is Ford China’s first all-electric commercial vehicle exported to Europe from China.
With regards to the US, Ford has said it will be moving production of the Lincoln Nautilus from China to the US in 2030, though that has been criticised as not being soon enough by Sean Duffy, US Transportation secretary.
Duffy also criticised Ford’s reliance on licenced technology from Chinese battery maker CATL. US Congress is working to tighten a ban on Chinese vehicle imports to the US. Ford responded to the criticism by restating it produces more vehicles in the US and exports more vehicles from there than any other automaker.
Ford also said it is investing to build batteries in America, including at the BlueOval Battery Park Michigan. “The CATL arrangement is a limited technology-licensing and services agreement, not a joint venture or foreign-owned manufacturing operation,” it stated.
Geely partners at Valencia
For Europe, Ford announced it is launching five new passenger vehicles by the end of 2029 that will be made in Europe. They include a new Bronco compact SUV, which will be made at the Valencia plant in Spain. It is currently made in limited numbers for Europe at Ford’s Michigan assembly plant in the US.
The carmaker is forming a manufacturing joint venture with Chinese carmaker Geely at the Valencia plant to build both Ford and Geely vehicles. The joint venture will begin operations in the first half of 2027, according to Ford, with the first new vehicles scheduled to roll off the line in 2028. Along with the new Bronco, over the next three years a new Ford crossover and two Geely electric SUVs will be added to the assembly lines at Valencia. In the meantime, the Valencia plant will continue to produce the Ford Kuga.
Export growth from China
China’s vehicle exports globally are expected to rise from around 7 million units in 2025 to more than 10 million this year, according to the China Association of Automobile Manufacturers (Caam). Last year, China produced 16 million new energy vehicles (NEVs), more than 50% of total domestic new vehicle sales and outstripping domestic demand by 20%. China also exported 7.09 million vehicles, including 2.6 million NEVs, an increase of 100% over the previous year. In the first quarter of 2026 NEV exports reached totalled 954,000 units, according to Caam, 120% up compared with the same period in 2025.
The International Energy Agency IEA) reported that electric cars sold in the European Union are increasingly shifting to Chinese brands, including Chinese-owned legacy European brands such as Volvo Cars and MG.
According to Gasgoo Automotive Research Institute, Russia and Brazil are the two biggest markets for Chinese passenger cars but Europe is emerging as a key market, including for battery electric or new energy vehicles (BEVs/NEVs). The UK is the third destination by volume for China-made passenger vehicles in the first six months of this year, with more than 315,500 delivered, an almost 95% increase year-on-year. Belgium has seen a year-on-year increase of nearly 49% to more than 266,000 in the same period, according to Gasgoo. Italy and Spain are also showing significant volume increases.
