Ford announced plans for seven new models for its electric vehicles that it will launch in Europe on Monday, as well as a battery assembly plant in Germany and a nickel cell manufacturing joint venture in Turkey, as part of a big EV push by it targeting the continent.
“Our march toward an all-electric future is an absolute necessity for Ford to meet the mobility needs of customers across a transforming Europe,” said Stuart Rowley, chair of Ford of Europe.
By 2024, Ford expects to offer three new electric passenger vehicles and four new electric commercial vehicles in Europe, with a goal of selling over 600,000 EVs in the area by 2026.
Ford claims that this will help it meet its global target of selling more than 2 million electric vehicles per year by 2026, with an adjusted operating profit margin of 10%.
Ford has announced a $50 billion investment drive to jumpstart electrification, which involves running its electric vehicle operation independently from the company’s heritage combustion engine business.
Ford strengthened its current relationship with Volkswagen, under which the American automaker would build a second electric vehicle for the European market based on Volkswagen’s platform.
As a result, Ford’s anticipated volume of cars based on Volkswagen’s modular electric-drive platform, known as MEB, would be increased to 1.2 million units over a six-year period.
This will include a $2 billion investment in Ford’s Cologne plant in Germany, as well as a new battery assembly factory set to open in 2024.
Ford also announced the signing of a non-binding memorandum of understanding with SK On Co, a subsidiary of SK Innovation (096770.KS) in South Korea, and Koc Holding in Turkey for a joint venture to manufacture high nickel NMC cells for assembly into battery array modules.
Ford Otosan, Ford’s joint venture with Koc Holding, will purchase the U.S. carmaker’s Craiova, Romania, facility for 575 million euros ($630 million) as part of the strategy update to expand electric and commercial vehicle capacity.
(Adapted from Bloomberg.com)