Turkish Ford Otosan signs $374.5M development deal with Italy’s Iveco
File photo shows Ford Otosan’s heavy-duty trucks in production at the Inonu plant in Eskisehir, Türkiye. (AA Photo)
Türkiye’s largest truck manufacturer, Ford Otosan, has signed a joint development agreement worth €343 million ($374.5 million) with Europe’s leading commercial vehicle producer, Italian automaker Iveco.
According to a statement filed with Türkiye’s Public Disclosure Platform on Tuesday, the agreement aims to jointly develop new heavy truck cabin models that comply with the European Union’s Direct Vision Standard (GSRD), set to take effect in 2028 and contribute to carbon emission reduction targets.
Production and assembly will be carried out separately at each company’s own facilities, with the cabins marketed under the Ford Trucks and Iveco (IVG) brands. Intellectual property rights for the newly developed cabins will be equally shared between Ford Otosan and Iveco.
The agreement will remain in effect until Dec. 31, 2029, though both parties have the right to terminate it under certain conditions by Nov. 30, 2026.
Ford’s sole truck manufacturer
Founded in 1959, Ford Otosan is a joint venture between Koc Holding, Türkiye’s largest conglomerate, and U.S. auto giant Ford Motor Company. The company has become Ford’s sole truck manufacturer following the recent closure of the brand’s truck plant in Brazil.
Since 1982, Ford Otosan has been producing Ford-branded heavy commercial vehicles at its Eskisehir Inonu Plant.
In a previous statement released on Monday, Ford Otosan announced it had signed a new Trademark License Agreement with Ford Motor Company, securing exclusive manufacturing and distribution rights for Ford-branded heavy trucks exceeding 15 metric tons (16.53 tons) until 2038.
