Electrek, an electric vehicle news site, announced that Ford is reportedly discussing a possible partnership with China’s Geely that could start with shared European manufacturing and expand into technology cooperation, including automated driving and advanced driver-assistance systems.
The potential partnership is significant as it could provide Geely with a way to avoid tariffs of up to 37.6% on electric vehicles imported from China by utilizing Ford’s European facilities. According to Electrek, Ford’s Valencia, Spain plant has been identified as the likely site for this arrangement. This strategy would help Geely localize production in Europe and reduce penalties aimed at deterring subsidized imports.
Electrek reported that the discussions between Ford and Geely have intensified recently, following meetings between executives in Michigan and additional travel to China. The report said that both companies are "closing in" on a deal that could go beyond sharing manufacturing space, including talks about sharing new technology such as automated driving and ADAS.
Meanwhile, Ford’s partnerships with Chinese battery manufacturers have drawn scrutiny from U.S. lawmakers. The Financial Times reported that Ford’s expanded relationship with CATL has led to concerns over national security risks tied to reliance on Chinese battery technology and questions about whether policy loopholes might allow Ford to benefit from U.S. incentives while increasing dependence on a dominant supplier based in China.
CATL is designated as a Foreign Entity of Concern under Inflation Reduction Act rules and is listed by the Department of Defense as a Chinese military company. As noted by the Select Committee on China, this designation makes battery components using CATL technology ineligible for certain tax credits. To comply with restrictions, Ford restructured its partnership at its Marshall facility to a licensing-only agreement but recent changes for energy storage projects have raised further questions about eligibility.
Electrek describes itself as a news and commentary site covering the transition from fossil-fuel transport to electric vehicles within the broader clean-energy sector.
