On the 22nd (local time), the Spanish newspaper *ABC* reported that Ford and Geely Holding have reached a milestone agreement. Ford will sell a portion of its Almussafes plant near Valencia, Spain, paving the way for Geely to manufacture electric vehicles there.

Citing informed sources, *ABC* reported that Spanish Prime Minister Pedro Sánchez and Ford Europe President Jim Baumbick are scheduled to visit the Almussafes plant on Thursday, with the agreement expected to be officially announced during the visit.

The deal grants Geely Holding a production base within the European Union. Geely Holding owns brands such as Volvo, Polestar, and Lotus; manufacturing pure electric vehicles in Spain will help the company bypass EU tariffs on Chinese-made EVs and gain direct access to the European market.

For Ford, sharing plant infrastructure can reduce fixed costs while helping to preserve jobs and production volume at the Almussafes facility. The plant's future had been uncertain due to the gradual discontinuation of several models and a heavy reliance on the Kuga for production.

According to *ABC*, the agreement entails Geely producing the EX2—a small pure electric car (known as the "Xingyuan" in China)—at the Almussafes plant.

Ford and Geely began negotiations regarding production and technical cooperation in February of this year, with the Ford Valencia plant identified at the time as the most likely European production site for the partnership. To accelerate its entry into overseas markets and strengthen ties with local governments, Geely has previously collaborated with Renault in South Korea and Brazil.