Ford Europe is in the midst of a major transformation that will see it transition its entire passenger vehicle lineup to EVs by 2030 or sooner, a process that involves discontinuing a number of ICE-powered models, as well as converting some assembly plants and shuttering others. Ultimately, FoMoCo decided to convert the Valencia Assembly plant in Spain for the production of future EVs, and at the same time, close the Ford Saarlouis Assembly plant in Germany in 2025. As is usually the case, Ford has been looking to sell that particular site, and may have found a buyer in BYD, China’s largest EV manufacturer – which it already has a relationship with – according to the Wall Street Journal.
BYD is reportedly engaged in negotiations with The Blue Oval with the intent of purchasing the Ford Saarlouis Assembly plant, according to the report. Some Ford brass will reportedly travel to China next week to discuss the matter with BYD executives in person, though terms of the potential deal – including a prospective sales price – are currently unclear.
These talks are still in the preliminary stages, which means that a deal could be reached, or it may be nixed completely. Ford reportedly has interest from 15 different entities – each of which is exploring the idea of buying the Saarlouis plant – ranging from investors to manufacturers.
Currently, the Ford Saarlouis Assembly plant builds the Ford Focus, but as Ford Authority reported last month, that long-running model has been discontinued, while the plant itself will cease production altogether in 2025. Meanwhile, Ford has instead chosen to produce vehicles on its next-generation electric vehicle architecture at the Valencia plant instead of Saarlouis, though the reduced complexity of EVs means that the facility will experience “significant” job cuts as part of this conversion.
We’ll have more on the future of all Ford plants soon, so be sure and subscribe to Ford Authority for ongoing Ford news coverage.
Comments
It’s unusual to learn the details of such a disinvestment or acquisition while negotiations are ongoing.
The fact that we learn that Ford execs are traveling to China to meet BYD and there are 25 other suitors says to me Ford is leaking this info trying to ramp up a bidding war for the plant.
Thank you for a useful comment.
You’re welcome.
Just one in a long line of many.
Was I right when I read Ford was going to stop producing gas engine vehicles overseas past 2030? I sure hope Ford isn’t going to stop producing gas engine vehicles for the US. Democrats aren’t going to rule past 2024. How can anyone take global warming seriously if China and India aren’t cutting back on their CO2 levels?
I think it’s bigger than a global warming objective for Ford. EVERY automotive company is on the same manufacturing path, including North America. A related manufacturing benefit for all companies is the reduced complexity on the assembly line. This reduced labour requirement translates to yearly salary and legacy savings that will significantly impact the companies bottom line.
You are correct about this Chris.
You were much closer on the first part of your comment than you were on the second part.
In EU Ford doesn’t plan to produce ICE passenger vehicles by 2030 but expects about 30% of its commercial vehicle sales will still be ICE. (I’ve not seen a statement from Ford projecting the BEV/ICE proportion for the USA but I expect the ICE share to be somewhat higher.
If Ford decides to give up internal combustion cars in Europe, let it leave Europe immediately. From the customer’s point of view, already expensive electricity, no one will buy an electric Ford that is more expensive than Tesla or even Audi!!!
I speak on behalf of myself and my friends. If this happens, we will just buy Toyota Kia models …. there is a large selection of combustion cars and no one makes such stupid decisions as Ford
Your “friends” must be a bunch of Big Oil Trolls or plain idiots. But, well hey, birds of a feather.
Your comment only works for folks ignorant of liquid carbon fuel costs and the maintenance costs for regular service of such vehicles so they can pass MOT/MFK.
So much bs. (You should talk to Sam I Am, he’s says EVs are perfect for Europe because they are not perfect for Texas.)
Man, what nonsense are you writing.
Open your eyes and see how many combustion cars consumers in Europe buy and what do you call all these people trolls.
I wonder who will buy a used Mach-e with a worn barteia and this will be the costs
Yeah, worn barteia will be the end of civilization.
What (sic) do I call all the bad faith Big Oil FUDsters trolls? “Many Trolls”, because many bad faith Big Oil FUDster trolls they be.
Although from your syntax I think you are not a native English speaker so I won’t be so hard on you for that Tomas.
But the rest of your comment is nonsense in any language, Europe buys plenty of iCE vehicles now because that’s what is mostly available. Most OEMs don’t have many BEVs on offer, and of those they do offer, production is constrained.
Kinda like when you really want a Weißwurst but they have Bratwurst at a really cheap price so you cave and buy the Bratwurst.
Chinese grow while the US retreats. Ford could be converting this to a next gen EV factory but they are leaving the market to the Chinese. Shame
You are displaying abject ignorance; did you even read the article?
Ford’s not leaving the market, they are closing a plant in a high cost region that is now surplus to requirements.
If you want to see Ford really retreat, condemn them to continued production of money losing sub-c/d pass cars.
I’m assuming you’re a Ford employee, spreading propaganda, and seeing nothing but your desk.
Open your eyes, see where the competition is and if you have too much time, take care of improving thousands of 1.5 EcoBoost engines covered by the repair action
Your bad initial assumption has led you to incorrect and bad conclusory statements.
I am amused by the style of your rhetoric, can’t yet place where it comes from. Southern or Eastern Europe perhaps, but def not native U.S..
Re Ford, you apparently missed my reply a bit ago to someone else who wondered similarly. And while I’m going to give you short shrift, here’s your answer: I’m not a ford employee.
All the benefits of my restrained and modest commentary are delivered to you for free and presently from my chaise lounge.