Foxconn reinvents itself, and EV supply chains – Reuters

  • Date: 03-Jan-2023
  • Source: Reuters
  • Sector:Retail
  • Country:Saudi Arabia
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Foxconn reinvents itself, and EV supply chains – Reuters

HONG KONG, Jan 3 (Reuters Breakingviews) - Foxconn’s (2317.TW) most important project in 2023 will be to remake itself. The Taiwanese company is best known for churning out Apple (AAPL.O) iPhones in China and shipping them around the world, but Chairman Liu Young-way is looking elsewhere for the next phase of growth. It’s a well-timed pivot.

Liu is repurposing the top electronics contract manufacturer into an electric vehicle powerhouse. Foxconn, formally known as Hon Hai Precision Industry, is gearing up to supply cars, and the chips and batteries that go into them, to global marques. It sees automakers entrusting the company with production in Indonesia, Thailand, Saudi Arabia, the United States and beyond. By 2025, Liu wants to take 5% of the global electric-vehicle market and generate annual revenue of T$1 trillion ($32.6 billion) – roughly 15% of Foxconn’s forecast 2022 top line, per analyst estimates from Refinitiv.