Renault (RNSDF) and Ford (F) will co-develop a new line of small, affordable electric vehicles for the European market and collaborate on commercial van production, the companies said on Tuesday.
The partnership aims to slash manufacturing costs and strengthen its position against growing competition from Chinese EV makers.
The companies have signed a partnership agreement to develop two Ford-branded passenger electric vehicles based on Renault Group’s Ampere platform.
The first of the two vehicles is expected in showrooms in early 2028, the companies said.
Additionally, Ford called on European policymakers to align CO₂ targets with “market realities to ensure a successful and sustainable industrial transition.”
The current share of electric vehicles in Europe is steady at 16.1%, far below the required 25% of new vehicle registrations required to meet Europe’s strict CO₂ targets by 2025, the automaker said.
“We know we’re in a fight for our lives in our industry,” Ford CEO Jim Farley told reporters in Paris on Monday ahead of the announcement, when describing Ford’s response to the threat posed by cheaper Chinese competition. “There is no better example than here in Europe.”
Ford already produces two EV models in Europe on a Volkswagen (VWAGY) platform and makes vans with the German automaker. Ford CEO Farley said the Renault partnership will complement its existing one with Volkswagen.
Ford’s current range of electric vehicles from the alliance are produced at its new Electric Vehicle Center in Cologne, Germany.