According to Reuters, Ford is in active talks with China’s Geely over a potential partnership that could span manufacturing and vehicle technology. The discussions come as automakers worldwide grapple with rising costs linked to production, electrification, and increasingly complex vehicle systems.
At the center of the talks is a possible arrangement that would see Geely make use of Ford’s existing manufacturing capacity in Europe to build vehicles for the regional market. Sources told Reuters that the companies have also explored sharing vehicle technologies, including systems related to automated driving. While no agreement has been reached, conversations focused on European production are believed to be the most advanced so far.
Momentum around the talks has picked up in recent weeks. Ford recently sent a delegation to China, following earlier meetings in Michigan between senior executives from both companies. People familiar with the matter say discussions have been ongoing for several months, though the full scope of any potential partnership remains unclear. It is also not yet known whether the talks could eventually extend to the U.S. market.
Geely declined to comment on the discussions. Ford said it regularly engages in conversations with multiple companies across a range of topics, noting that while some talks move forward, others do not.
Any potential collaboration is unfolding against a complicated geopolitical backdrop. Chinese automakers have largely been shut out of the U.S. market due to tariffs and regulatory restrictions introduced during the Biden administration, driven by national security concerns tied to data collection and vehicle software. As a result, any deal that could bring advanced Chinese automotive technology into the United States would likely face close scrutiny from the Trump administration and U.S. lawmakers.
For Ford, however, a partnership could offer a strategic boost. The company has been working to close the gap with rivals in connected-vehicle systems and autonomous driving—areas where Tesla leads and where Chinese automakers have made rapid progress. Ford CEO Jim Farley has repeatedly described China’s technological lead in electric and connected vehicles as a wake-up call, calling it “the most humbling thing” he has seen in his career.
Access to Ford’s European manufacturing footprint could also work in Geely’s favor. Producing vehicles locally would help the company avoid steep European Union tariffs on electric vehicles built in China. In 2024, the EU imposed provisional duties of up to 37.6% on imported Chinese EVs, pushing several Chinese automakers to accelerate plans for local European production. Ford’s plant in Valencia, Spain, is widely viewed as the most likely site under consideration.
Geely has already taken a similar approach elsewhere, forming joint ventures with Renault in South Korea and Brazil. More broadly, Chinese automakers are increasingly setting up manufacturing operations across Europe as they look to expand globally while navigating trade barriers.
Geely Auto, which includes brands such as Zeekr and Lynk & Co, reported a 39% jump in sales in 2025 to just over three million vehicles. Including affiliates such as Volvo Cars and Lotus, Geely now ranks as China’s second-largest automaker behind BYD. Under founder Li Shufu, the group has built a reputation as an aggressive global dealmaker, including its 2010 acquisition of Volvo from Ford.
