Ford May Close Its Plant In Germany

Ford is at risk of closing its plant in Germany!

Ford has decided to follow a different path after negotiations with a Chinese investor for the sale of its factory in Germany went negatively. The factory will either be closed or converted into a technology center in 2025.

Ford, which plans to launch seven electric vehicles in the European market next year, is scaling back its European production network to cut costs and focus solely on selling electric cars on the continent after 2030.

The factory in Saarlouis, Germany, produces the Ford Focus model that the company will discontinue in 2025. It is stated that even the presence of a factory for production in the region seems unnecessary for the model, which will not come in an electric version. In this context, the factory’s existence in Germany is a big question mark for the company management.

Within the scope of the feasibility study carried out by the Chinese investor during the process, it was reported that it was not the right decision for the factory to continue production, and in this context, the investor withdrew. Although the name of the company with which the negotiations were held was not shared in the statements made by Ford, sources following the process reported that this investor was a Chinese automobile manufacturer. The fact that companies such as BYD are among the 15 potential investors interested in the factory stands out as details that strengthen this inference.

The idea of transforming the plant into a technology center seems to be an appropriate decision for Ford’s management. The company wants to use the 4400 employees already working there without laying off about 1000 of them.

The beginning of the end for the Saarlouis plant began in 2022, when Ford chose Valencia, Spain, as the production center for its next generation of electric cars. The union representing workers at the plant, which has been trying to forge a collective bargaining agreement to protect the workers who will be laid off, expressed anger and disappointment at the news, threatening that the move would be “costly” for Ford if so many workers lose their jobs.