Ford is betting big on the electrification of its European lineup and wants to sell only battery-powered vehicles on the continent by the end of the decade. The light commercial segment will play a key role in this strategy and in support of its progress, the Blue oval announces a partnership with LG Energy Solutions for a new battery plant in Turkey. The two sides – together with the local Koc Holding – have signed a non-binding memorandum of understanding to form a new joint venture. The deal is subject to final agreement by all three parties involved.
Ford aims to build one of the largest commercial vehicle battery cell factories in Europe with its partners. It will be located in the industrial zone in Baskent, near Ankara in Turkey. Ford is confident the project is on track and expected to break ground later this year with actual production planned to begin in 2026. Ford, LG, and Koc commit to at least 25 GWh of annual production capacity with a possible expansion to up to 45 GWh per year.
Gallery: Ford E-Transit Kocaeli
“Ford continues to ramp up our electric vehicle plans as we scale to be a leader in the electric vehicle revolution,” Lisa Drake, vice president, Ford EV Industrialization, comments. “We are delivering on the commitment to produce batteries in the same region where we build electric vehicles. Establishing the new joint venture with LGES and Koc Holding will lay a solid foundation that is fundamental to building a thriving electric vehicle future for Ford in Europe.”
Turkey is a key location for Ford's European operations. The automaker has been partnering with Koc Holding for decades and the two companies run the Ford Otosan joint venture which was established more than 60 years ago. Since April last year, Ford has been producing the E-Transit in the country for the European markets. The factory in Kocaeli is the second manufacturing site to assemble the electric van after Kansas.
LG isn’t a new partner for Ford either. The tech giant provides the batteries for the Mustang Mach-E from its plant in Poland. The two companies have been working together for more than a decade.