Rumours are circling that Chinese giant BYD is in talks with Ford to purchase one of the automakers’ German plants for European production. The discussions are around Ford’s Saarlouis plant, which is slated to end vehicle production in 2025.
Currently, Ford produces the Ford Focus compact model at the facility. According to the Wall Street Journal, the two companies are still in early discussions over the plant.
BYD isn’t the only party interested in the Saarlouis plant however. Ford is also in discussions with around fifteen other investors, including financial investors who may partner with a manufacturer to take over the plant.
Ford announced the planned closure of the Saarlouis factory in June. The company plans to build EVs for the European market in Valencia, Spain and Cologne, Germany.
German union officials representing workers in Saarlouis confirmed that up to 700 workers of the 4,600 will continue to work on components at the facility until 2025.
BYD has already started to expand sales into Europe so a European-based plant would make logical sense in terms of logistics. The sources close to the story could not confirm the terms of the deal nor the price of the facility.
Neither Ford nor BYD commented on the rumours or confirm if they are in any talks about the German plant.