Geely: Geely's Valencia JV with Ford Marks a Low-cost “made-in-Europe” Attempt

研报英文原文证据摘录

Geely: Geely's Valencia JV with Ford Marks a Low-cost “made-in-Europe” Attempt

Deutsche Bank

Research

Rating Company Date

Buy Geely 23 July 2026

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Geely's Valencia JV with Ford Marks a

Valuation & Risks Low-cost “made-in-Europe” Attempt

Bin Wang

Geely Acquires Stake in Ford's Valencia Plant, Accelerating European Research Analyst

Localization Strategy +852-220-35496

On July 23, 2026, Geely announced its plan to spend €221 million (at 1x price-to-

book value) to acquire a 34% stake in Ford’s Almussafes plant in Valencia, a facility Wei Huang

Research Associate

with an annual capacity of 500,000 units. This acquisition will establish a new joint

+852-2203-7057

venture that will serve as a contract manufacturer of passenger vehicles for both

Geely and Ford, providing Geely with immediate access to an established European

manufacturing platform. This strategic move will enable certain Geely-branded

vehicles to be produced locally for the European market, thereby supporting

Geely’s European localization strategy. Geely is set to benefit from the Valencia

facility’s existing manufacturing capabilities, its relatively cost-effective yet

experienced workforce, and its robust supply chain network, which will accelerate

its market deployment in Europe while simultaneously reducing the execution risks

and capital requirements associated with developing a new manufacturing base

independently.

Geely's Strategic Global Expansion Through Partnerships in South Korea and

Brazil