7 New Connected EV´s, Supporting Ford Europe´s Plan to Achieve 600K EV Sales Volume by 2026
Updated: Apr 10, 2022
Ford announced significant strides toward an all-electric future in Europe, which will see the company transform and offer a new generation of seven all-electric, fully-connected passenger vehicles and vans by 2024.
Today’s announcement builds on the recent news that the company has created a new global business unit – Ford Model e – focused on designing, producing, and distributing electric and connected vehicles. Together with Ford Pro, the business unit focused on Ford’s commercial vehicle business, and these two business units will define Ford’s future in Europe.
“I am delighted to see the pace of change in Europe – challenging our entire industry to build better, cleaner and more digital vehicles. Ford is all-in and moving fast to meet the demand in Europe and around the globe,” said Jim Farley, Ford president and CEO. “This is why we have created Ford Model e – allowing us to move at the speed of a start-up to build electric vehicles that delight and offer connected services unique to Ford and that are built with Ford-grade engineering and safety.”
With its extended range of electric passenger and commercial vehicle models, Ford expects its annual sales of electric vehicles in Europe to exceed 600,000 units in 2026 and reaffirmed its intention to deliver a 6 % EBIT margin in Europe in 2023. The acceleration in Europe supports Ford’s goal to sell more than 2 million EVs globally by 2026 and deliver company adjusted EBIT margin of 10 %.
“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, Ford of Europe. “It’s also about the pressing need for greater care of our planet, making a positive contribution to society and reducing emissions in line with the Paris Climate Agreement.”
Together, these efforts will significantly support Ford’s global plans to reduce carbon emissions. Today, the company announced it is targeting zero emissions for all vehicle sales in Europe and carbon neutrality across its European footprint of facilities, logistics, and suppliers by 2035.
Following the successful European introduction of the all-electric Mach-E in 2021 and Mach-E GT this year, plus the launch of the E-Transit in the next quarter, Ford today unveiled plans for seven all-electric vehicles to join the Ford family in Europe – three new passenger vehicles and four new commercial vehicles.
Starting in 2023, Ford will begin producing an all-new electric passenger vehicle, a medium-sized crossover, built in Cologne with a second electric vehicle added to the Cologne production line-up in 2024. In addition, Ford’s top-selling passenger vehicle in Europe, the Ford Puma, will be available as an electric version made in Craiova, Romania, starting in 2024.
Ford’s iconic Transit range will include four new electric models – the all-new Transit Custom one-tonne van and Tourneo Custom multi-purpose vehicle in 2023, and the smaller, next-generation Transit Courier van and Tourneo Courier multi-purpose vehicle in 2024.
“These new Ford electric vehicles signal what is nothing less than the total transformation of our brand in Europe – a new generation of zero-emission vehicles, optimized for a connected world, offering our customers truly outstanding user experiences,” said Rowley.
EV production and investment in Cologne
Ford confirmed today that the first volume all-electric passenger vehicle to come out of the Ford Cologne Electrification Centre will be a five-seat, medium-sized crossover. In 2021, sports utilities and crossovers accounted for 58 % of all Ford passenger vehicles sold in the continent, up nearly 20 percentage points from 2020.
Today’s confirmation that a second, all-electric passenger vehicle – a sports crossover – will be built at the Ford Cologne Electrification Centre means that electric vehicle production at the facility will increase to 1.2 million vehicles over a six-year timeframe. Investment in the new electric passenger vehicles in Cologne is expected to be $2 billion. The investment includes a new battery assembly facility scheduled to start operations in 2024.
To support Ford’s ambitious vehicle electrification plans, Ford, SK On Co., Ltd. and Koç Holding have signed a non-binding Memorandum of Understanding for a new, industry-leading joint venture business in Turkey. Subject to execution of a final agreement, the three partners plan to create one of the most extensive EV battery facilities in the European wider region.
The joint venture would be located near Ankara and will manufacture high Nickel NMC cells for assembly into battery array modules. Production is intended to start as early as mid-decade with an annual capacity likely to be in the range of 30 to 45 Gigawatt hours.
The investment the three partners are planning in the battery joint venture – including support from the Turkish Government – will directly benefit large and small commercial vehicle operators across Europe, reducing energy and running costs and providing a significant contribution to CO2 reduction.
Boosting EV manufacturing capacity in Craiova
Ford’s manufacturing plant in Craiova, Romania, will play a significant role in the company’s electric and commercial vehicle growth plans in Europe.
From 2024, European customers will be able to purchase an all-electric version of the Ford Puma, Ford’s popular compact crossover. The all-electric Puma will go into production in Craiova in 2024. Additionally, the all-new Transit Courier, the popular light commercial vehicle, and Tourneo Courier, a compact multi-purpose vehicle, will also be produced in Craiova from 2023, with all-electric versions coming in 2024.
This morning, Ford announced that Ford Otosan will assume ownership of the Craiova plant and manufacturing business, subject to regulatory approval and consultation to boost electric and commercial vehicle capacity further. Ford Otosan, a joint venture between Ford Motor Company and Koç Holding, is one of the longest-running and most successful joint ventures in the global auto industry.
“We welcome this opportunity to grow our joint venture with Koc Holding and leverage this strategic partnership to utilize our resources and know-how in Romania better,” Rowley said. “Ford Craiova is today a strong success story, and we believe that through Ford Otosan's experience and expertise in electrification and commercial vehicles it can reach even higher levels of achievement.”