Ford Motors is in discussion with Chinese EV maker BYD relating to its German plant. Ford says it plans to sell its manufacturing plant in Germany to BYD, as BYD makes steady inroads into Europe.

Ford has begun to wind down the production of some of its very successful models. The Ford Focus was a popular model in its days, but Ford is now shifting its focus to electric vehicles. Ford’s manufacturing facility in Saarlouis, Germany may soon be under the control of BYD, according to reports. The report published in The Wall Street Journal indicates that the plant will be sold to China’s biggest EV maker BYD.

BYD has finally exited the ICE market with its last models produced last year. It is now fully into electric vehicles or hybrid models. It has continued to expand its network in Europe and Asia. It kickstarted its European campaign in 2020 with the launch of its market trial in Norway. The UK and France are among the markets BYD entered in 2023. BYD previously announced plans to build at least one EV manufacturing plant in Europe. The acquisition of the Ford manufacturing facility in Germany will be a strategic move in BYD’s expansion plans.

BYD continues to pursue its plans to become a global EV brand. The WSJ report indicated that officials of Ford and BYD are planning to meet in China to discuss the potential sale of the German plant. It was also noted that the talks are at the early stage and BYD was among 15 potential investors shortlisted.

The sale of the plant will be yet another aspect of Ford’s scaling down of its operations as it targets full EV production. Last summer, Ford cut 8,000 jobs in a major downsizing move. More jobs are also on the line as the company pursues its EV manufacturing goals. On the other hand, BYD’s growth trajectory is on a positive spin. The new plant will further sustain the trajectory.

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