Ford Motor Company (NYSE: F) has been taking several steps to improve its operations and as part of these efforts, the company has entered into several strategic partnerships this year. Let’s take a look at few of these alliances:
Ford – Mahindra JV
On Tuesday, Ford announced a joint venture with Mahindra & Mahindra Limited to develop, market and distribute Ford brand vehicles in India along with Ford and Mahindra brand vehicles in high-growth emerging markets worldwide.
Mahindra will own 51% of the JV while Ford will hold 49%. Ford will transfer its India operations to the JV but will retain its Global Business Services unit, Ford Credit and Ford Smart Mobility. The JV is expected to be operational by mid-2020.
The JV plans to launch three new utility vehicles under the Ford brand and also focus on the development of electric vehicles.
Ford – Changan partnership
Last month, Ford entered into a strategic partnership with Changan Automobile to develop new products and technologies that are better suited for the Chinese market. The alliance includes cooperation in R&D, production, supply chain management, marketing and innovation.
As part of its China 330 product plan, Changan Ford has launched four models in 2019 and will launch at least 14 new products through the end of 2021. There are also plans to launch five new energy models by the end of 2021.
Ford – Volkswagen
In January, Volkswagen and Ford announced an alliance to develop commercial vans and medium-sized pickups for global markets beginning as early as 2022. In July, both companies expanded this alliance to include autonomous and electric vehicles.
Ford and Volkswagen made investments in the autonomous vehicle technology platform company Argo AI that gave it a valuation of over $7 billion at the time.
Ford – Rivian investment
In April, Ford made an equity investment of $500 million in electric vehicle company Rivian. The companies also agreed to work together to develop a new battery electric vehicle for Ford’s EV portfolio using Rivian’s skateboard platform.
Ford’s shares have gained 18% year-to-date. The stock was down 1.1% in morning trade on Tuesday.