Ford took over the struggling Romanian carmaker Automobile Craiova in 2008 and is producing its B-Max model there, although low demand has led to regular production stoppages.

Ford will start producing the vehicle from autumn of 2017, Farley told reporters on a visit to the plant in southern Romania.

"As of that date, Craiova will become the only production source for the EcoSport model sold in Europe (except Russia)," he said.

He said that the U.S. company expects to keep its current staff levels in Romania. Farley added that he expected Ford sales to rise above 200,000 SUVs in Europe this year, a more than 30 percent rise on the year.

(Reporting by Luiza Ilie, editing by Louise Heavens)