Ford and Volkswagen develop EV partnership to a second electrical mannequin for the European market

Volkswagen is increasing its electric-vehicle collaboration with Ford Motor, the corporate mentioned Monday, signing on to produce the EV structure for a second Ford mannequin for the European market.

As a part of the growth, Ford mentioned it now expects to provide 1.2 million electrical automobiles utilizing Volkswagen’s platform over six years, beginning in 2023 — double its earlier manufacturing plans.

The information was a part of a broader Ford plan for electrical automobiles in Europe introduced earlier on Monday.

“Profitability and velocity at the moment are essential for lastly reaching the breakthrough of e-mobility in Europe. We’re tackling each along with Ford,” mentioned Thomas Schmall, who runs VW’s elements enterprise.

Ford and Volkswagen first introduced a broad collaboration on electrical and autonomous automobiles in 2019. The partnership has since expanded to incorporate joint efforts on internal-combustion industrial automobiles and a $2.6 billion funding by Volkswagen in Argo AI, a Ford-backed self-driving startup primarily based in Pittsburgh.

Traditionally it’s totally uncommon for 2 international automakers to collaborate at this depth. However such collaborations have turn into extra frequent in recent times as automakers grapple with the prices and assets wanted to transition to zero-emissions automobiles with increased ranges of automation.

Common Motors and Honda have a comparable partnership, beneath which Honda invested in GM’s self-driving subsidiary, Cruise, and dedicated to utilizing GM’s electric-vehicle know-how in two upcoming Honda fashions for the U.S. market. The 2 automakers have collaborated on hydrogen gasoline cells since 2013, and extra lately arrange a three way partnership to mass-produce gasoline cells in Michigan. However Honda final 12 months stepped away from a longer-term plan to make use of GM’s EV structure and mentioned that it’ll develop its personal for brand spanking new fashions coming later this decade.

The primary Ford mannequin to make use of Volkswagen’s EV structure will probably be a battery-electric crossover SUV, anticipated to start delivery subsequent 12 months. Ford hasn’t but launched particulars concerning the second deliberate mannequin.

Each will probably be constructed at Ford’s manufacturing complicated in Cologne, Germany.