In January 1886 a German engineer with a distinctive mustache walked into the Berlin patent office. He carried a bold idea and, with the help of his wife Bertha, managed to bring it to life. That inventor was Karl Benz, and his first car with an internal combustion engine would redefine mobility forever. Today, almost a century and a half later, the automotive world stands at the threshold of another major transformation. The aim is to move beyond the classic gasoline engine and embrace electric propulsion, pursuing zero emissions. Yet, the industry is not sprinting toward this future on a straight path. Many companies are adapting to keep the ship afloat in a changing landscape.
Among these stories, a notable episode illustrates the current uncertainty surrounding electric cars. The global leader of a long standing multinational, present in Spain for more than four decades through its Almussafes plant in Valencia, told the majority union UGT in mid November that the electrification investment for the plant would be postponed with no proclaimed new date. Company sources in Spain have officially framed the delay as a possibility rather than a certainty, saying that the market context is being studied and that the company will adjust to the pace set by demand away from fixed promises. The message is clear: adaptation and a quiet lack of news have created anxiety among the plant’s workers when electric vehicles were expected to begin arriving on the road.
unpredictable context
We are navigating an unexpected scenario, notes Carlos Faubel, head of UGT at the plant and chair of the works committee. He highlights ongoing uncertainty about how electrification will unfold in Valencia and across Europe, stressing that there is no definite plan on the horizon. Daniel Portillo of STM-Intersindical echoes the sentiment, describing a sense of impotence among Almussafes staff following labor concessions that were made before and leaving little clarity about any future steps. The view is shared: light at the end of the tunnel remains elusive.
The mood makes sense in a place that has weathered three years of trouble in the last four. The most recent round involved thousands of layoffs, and production lines for key models have been interrupted. The factory had halted production of three vehicles Mondeo, S‑Max, and Galaxy, and the Transit minibuses were planned to depart in 2024. The remaining model mix was centered on the Kuga, a hybrid whose sales were not robust enough to guarantee steady workload ahead of a full electric lineup. Industry observers expect Ford to announce a clarified path that would sustain both the plant and suppliers, but no such statement has arrived yet.
Despite the overall uncertainty, union leaders say there is no loss of confidence in the longer term for electrical workers. Felipe Carrasco, the Industrial Regional Secretary of the Generalitat Valenciana, shares this view and believes Ford is keeping pace with market and product evolution rather than lagging behind.
The company has sought support through public programs for electric and connected vehicle development. In the second edition of PERTE, Ford secured a substantial grant for a battery facility in Almussafes. While the firm has not ruled out adjustments to grant timing if deadlines are not met, some fear that another wave of postponements could follow if the Valencia decision is not isolated but part of a broader pattern. The possibility weighs on workers and regional partners alike.
Two main reasons
Ford has recently reduced its output at its first lithium-ferrophosphate battery plant in Michigan and postponed or canceled other planned facilities in North America and Turkey. It also trimmed the planned production of two electric models intended for 2024, the Mustang Mach‑E and the F‑150 Lightning, while delaying the electric Explorer, initially slated for the Cologne facility in Germany. The overarching explanation is simple: the pace of electric model progress has not met expectations.
Ford’s chief executive, Jim Farley, outlined two core factors in September. First, the charging network for consumers remains insufficient, hindering broad driving adoption. Second, the upfront cost of electric vehicles remains a barrier for middle‑income households in many European markets. A spokeswoman for the dealer association Faconauto described these conditions as a perfect storm, especially given the price sensitivity in several regions.
Anfac, the association of Spanish vehicle manufacturers, tracks charging infrastructure across Europe. Its data show progress in some countries where charging networks are robust, yet others lag behind, including Spain. The European average still falls short of a comprehensive network for charging, with contrasts between countries that have reached a critical mass and those far from it. Europe has set goals such as charging points every 60 kilometers for passenger cars by the end of 2025, but the reality in several markets remains uneven. A key message from Anfac is that there is a need for practical support to install charging points in homes and public spaces. Carmakers want to sell more vehicles, while energy providers must install the necessary infrastructure, and both sides require efficient business models to move forward.
Price remains a central concern. While electric cars deliver long-term savings, the initial purchase price remains higher than conventional cars in many places. In markets like Spain, only a small share of new car sales is electric, and buyers often wait for public incentives that can take years to materialize. The overall market response will hinge on a mix of price reductions, improved technology, and accessible financing.
Looking across Europe, pure electric vehicle sales through November accounted for a modest share of total purchases. Plug-in hybrids and traditional gasoline vehicles still dominate. Faced with these realities, the industry sees a slow but gradual shift as technology advances and costs decline. It is not a sudden leap, but a measured transition shaped by consumer affordability.
Main qualification
The cost of electric propulsion is closely tied to the price of batteries and the raw materials involved in their manufacture. While battery cell counts in recent years show some contraction, the trend remains influenced by global supply dynamics. Analysts note a clear cost advantage for Asian producers, who hold deep supply chains and scale. Vicente Pallardo, a professor of applied economics at the University of Valencia, emphasizes that Europe reacted late to the electric transition and that financing strategies favored vehicle purchases over production capacity. The result, he argues, is a competitive gap with Asia that Europe must close.
Industry observers caution that Western automakers face an uphill battle to compete with lower prices from Asian rivals in broad segments. The message from industry groups is that Europe must align its industrial base, secure supply chains, and implement policies that support both production and demand for electric vehicles.
Other options
Some manufacturers that feel crowding in the market may seek strategic partnerships, including alliances with Asian firms. There is speculation about collaborations aimed at introducing cheaper models or high‑end offerings that target different customer segments. Such moves could reduce European factory workloads and influence local employment, but they also represent a path toward sustaining the regional automotive ecosystem.
Nevertheless, the conversation continues. Leaders stress that affordable, competitive products from brands such as Renault, Citröen and Volkswagen are part of the near‑term plan. The overarching aim remains clear: demonstrate that European automakers can compete on a level playing field, with sustained investment and a clear, credible path to decarbonization. The European Union must articulate a decisive commitment to the automotive sector and maintain its industrial weight while building a balanced mix of domestic production and strategic partnerships. Industry voices remind readers that the transition is not just about cars; it is about reshaping the entire supply chain, from batteries to charging infrastructure to grid integration. The ultimate goal is a cleaner, more sustainable mobility future for consumers across North America and beyond.