Ford has announced a strong commitment to electrification in Europe by announcing plans to no longer sell passenger vehicles with internal combustion engines by 2030, with a fully electric line-up being offered instead.

While it is a bold move, the Blue Oval is taking a gradual approach to things and will first aim to ensure its range of products is made up of just all-electric and plug-in hybrid cars by mid-2026. Last year, Ford announced a return to profit in Europe and that it was investing USD22 billion (about RM88 billion) globally in electrification through 2025, nearly twice the amount of its previous EV investment plans.

“We successfully restructured Ford of Europe and returned to profitability in the fourth quarter of 2020. Now we are charging into an all-electric future in Europe with expressive new vehicles and a world-class connected customer experience. We expect to continue our strong momentum this year in Europe and remain on track to deliver our goal of a six percent EBIT margin as part of Ford’s plan to turnaround our global automotive operations,” said Stuart Rowley, Ford of Europe president.

The company’s commercial vehicle business in the region will also undergo a similar electrification process, with all-electric or plug-in hybrid models making up the line-up by 2024. It expects two thirds of commercial vehicle sales to be 100% zero-emissions capable by 2030.

The transformative plan will also see Ford invest USD1 billion (about RM4 billion) to modernise and prepare its assembly plant in Cologne, Germany for EV production. According to the company, the existing vehicle assembly operations will be turned into the Ford Cologne Electrification Center, its first such facility in Europe.

Ford also confirmed that its first European-built passenger EV for European customers will be produced at the facility from 2023, with the potential for a second EV built there under consideration.

“Our announcement today to transform our Cologne facility, the home of our operations in Germany for 90 years, is one of the most significant Ford has made in over a generation. It underlines our commitment to Europe and a modern future with electric vehicles at the heart of our strategy for growth,” Rowley said.

“We will offer an exceptional range of electrified vehicles, supported by customer-centric digital services and experiences, allowing our customers to come with us on the journey to a fully electric future, starting right now with the launch of the all-electric Mustang Mach-E. In combination with our leading commercial vehicle business, this will form the basis of a sustainably profitable Ford business in Europe,” he concluded.