In a rather interesting turn of events, Ford Motor andRenaultGroup today announced a strategic partnership to launch an offensive against the increasing influx of Chinese electric cars and vans in Europe. The outcome of this strategic partnership will yield Ford with two new small electric cars and then a few vans (CVs). Lets take a closer look at these developments.
The iconic Blue Oval (Ford Motor) and the Diamond (Renault Group) have just signed a partnership agreement to co-develop two new EVs. This partnership will be extended to incorporate vans and other CVs in the future. The partnership is kicking things off with two Ford branded electric cars.
Both these electric cars will be based on Renaults Ampere (or AmpR) platform on which Renault 5, Renault 4, Twingo, Scenic, Megane E-Tech and other vehicles are positioned. These two Ford branded electric cars co-developed with Renault are aimed primarily for European market where Ford has lost almost half of its market share from 6.1% in 2019 to 3.3% in 2025 period.
With Trump administration cutting down on electric car development support,Fordhas witnessed a surge in development costs to invest in both ICE and electric powertrains. The partnership with Renault Group will bring down investments in EV powertrain development and platform sharing.
What to expect?
Renault will be able to increase production and make better use of its manufacturing capacity and lower costs for both Renault and Ford. The first of these two Ford EVs for European market will reach showrooms by early 2028. These models are expected to be small and affordable and be cost effective to design, develop and produce.
Currently, Ford has two EVs on sale in India, co-developed with Volkswagen Group and positioned on MEB platform. The partnership with Renault will give them two more electric vehicles to better counter the increasing Chinese influx of electric cars from brands like BYD, Changan, Xpeng and others.
Statements from Renault Group and Ford Motor
Franois Provost, CEO Renault Group said: Renault Group is proud to announce a new strategic cooperation with Ford, an iconic car manufacturer. This partnership shows the strength of our partnership know-how and competitiveness in Europe. In the long term, combining our strengths with Ford will make us more innovative and more responsive in a fast-changing European automotive market.
Jim Farley, president and CEO, Ford Motor Company said: The strategic partnership with Renault Group marks an important step for Ford and supports our strategy to build a highly efficient and fit-for-the future business in Europe. We will combine Renault Groups industrial scale and EV assets with Fords iconic design and driving dynamics to create vehicles that are fun, capable, and distinctly Ford in spirit.
