Ford-VW Partnership Will Spawn 8 Million Commercial Vehicles

Ford CEO Jim Hackett said at a conference today that his company’s partnership with Volkswagen would lead to the production of 8 million commercial vehicles. These will include pickups, small vans, and large vans.

The city van for Europe will be created and produced by Volkswagen while the 1-ton cargo van will be engineered by Ford, Hackett said during a virtual Deutsche Bank conference.

The pickup, meanwhile, will be for VW and will be based on the Ranger platform. As VW leadership has repeated multiple times, the pickup is unlikely to be sold in the USA.

“In light of the COVID-19 pandemic and its impacts on the global economy, more than ever it is vital to set up resilient alliances between strong companies,” Herbert Diess, VW’s CEO, said in a release. “This collaboration will efficiently drive down development costs, allowing broader global distribution of electric and commercial vehicles, and enhance the positions of both companies.”

Ford plans to use these commercial vehicles to drive profits in emerging markets. Although the alliance does not include any ownership stakes, it may grow, with plans for Ford to use VW’s electric MEB platform in Europe.

That plan will apparently lead to the production of 600,000 EVs over several years starting in 2023.