Ford and Renault team up to produce cheaper electric cars in ‘battle for our lives’

Ford CEO Jim Farley acknowledged that the automaker exists “Fighting for our lives in our industry” As it seeks to remain competitive in Europe amid pressure from Chinese competitors. One of its weapons to ward off these threats is a partnership with French automaker Renault.

The two automakers announced an agreement on Tuesday to bring two affordable Ford-branded electric vehicles to the European market in 2028. Ford will lead the design process and Renault will assemble the vehicles at its plant in northern France. The electric cars will be built on Renault’s technology platform known as Ampere.

The two companies also agreed to “explore” making light commercial vehicles together.

The partnership is part of what Ford described as The next stage of its European transformation – A plan aimed at making the US automaker more flexible and cost-effective in a market that is cooperating with cheaper Chinese cars from companies such as BYD and SAIC Motor.

“As an American company, we see Europe as a front line in the global transformation of our industry,” Farley said in a statement. “How we compete here – how we innovate, partner and invest – will write the rules of the game for the next generation. We are committed to a vibrant future in Europe, but that future requires us to move more quickly and efficiently than ever before.”