Ford is aggressively repositioning its European strategy, aiming to regain market share through a blend of electric vehicle (EV) development, strategic partnerships, and leveraging existing platforms. The core of this plan involves the revival of the iconic Fiesta as an all-electric hatchback, built in collaboration with Renault. This move marks a significant shift for Ford, which has seen its European car registrations plummet to historic lows in recent years.
The Fiesta’s Electric Comeback: A Renault-Powered Resurrection
After a two-year hiatus, the Fiesta is slated for a Lazarus-like comeback in 2028, reborn as an EV. This is possible through an alliance with Renault, which will provide the platform, battery technology, motors, and manufacturing facilities. The partnership allows Ford to quickly re-enter the supermini segment without massive capital expenditure. Renault’s success with its retro-inspired Renault 5 EV has demonstrated the market appetite for reviving classic models.
Beyond the Fiesta: Ford’s Expanding European Lineup
The Fiesta isn’t the only vehicle in Ford’s pipeline. The company is also developing a mid-size crossover for its Spanish factory and a small SUV, both based on Renault’s electric platform. The latter could potentially revive the Ka nameplate, targeting the city car segment. Ford executives have emphasized that these expansions are aimed at maximizing scale and efficiency, rather than pursuing every vehicle segment.
Why Partnerships Are Critical for Ford in Europe
Ford’s decision to collaborate with Renault, and previously Volkswagen, stems from its position as an independent automaker lacking the scale of larger groups. These partnerships are crucial for reducing costs, accelerating development timelines, and securing access to competitive EV technology. The company has already invested $2 billion into its Cologne plant for EV production based on Volkswagen’s MEB platform.
The Strategic Rationale: Learning from Renault’s Speed
Ford specifically chose Renault’s Ampere platform over VW’s for small EVs due to the French automaker’s agility and competitiveness. Renault has already streamlined its EV development, exemplified by the rapid engineering of the new Twingo in under 24 months. Ford aims to emulate this speed, recognizing that in the fast-moving EV market, time is a critical advantage.
Leveraging Existing Assets: The Hybrid Crossover in Spain
Ford is also utilizing its Spanish plant to produce a hybrid crossover inspired by the Bronco Sport. This model will target customers who prefer a more accessible SUV experience than the rugged Bronco. The decision to include hybrid powertrains alongside EVs reflects Ford’s commitment to meeting diverse consumer needs while reducing emissions.
Ford’s Future in Europe: A Focused Approach
By 2029, Ford aims to cover 80% of the European passenger car market with its core lineup: the Puma, the reborn Fiesta, and the Renault-based small SUV, along with the Explorer and Capri SUVs. The company is not pursuing a full portfolio, instead focusing on segments where it can compete effectively. The goal is to win over enthusiasts and customers passionate about their vehicles, complementing its strong commercial vehicle business.
Despite a 65% drop in European car registrations over the past two decades, Ford remains committed to manufacturing in Europe for European consumers. The company’s turnaround depends on a combination of strategic partnerships, efficient EV development, and a focused product lineup.
