Business Essentials for Professionals


Supplying Components To 3 Million EVs By 2027 Targeted By Apple Supplier Foxconn

Supplying Components To 3 Million EVs By 2027 Targeted By Apple Supplier Foxconn
Taiwanese tech company and Apple Inc’s largest assembler Foxconn has set itself a target of achieving a position to be able to supply components or its services for at least 10 per cent of the total electric vehicles of the world between 2025 and 2027.
The company’s Chairman Liu Young-way said on Friday that the company is currently also in talks with multiple auto makers around the world for potential collaboraitons in the near future.
Foxconn is aiming to gain business growth from sectors such as electric vehicles,  digital health and robots as the company strives to expand globally by diversification of its investment globally, said the Taiwanese contract manufacturer which was formally known Hon Hai Precision Industry Co Ltd and is a major supplier to Apple Inc.
“We want to push Taiwan’s EV industry to the world,” Liu said in Taipei.
Plans of striking a joint venture with Foxconn for development and manufacturing of electric cars and the development of internet connected vehicles in China was announced by auto manufacturer Fiat Chrysler in January.
 “Hon Hai has to ready our open platform as soon as possible. We need to move fast to grab market share,” Liu said in reference to the pledge of Foxconn to develop an “open platform” for manufacturing of key components for electric vehicles  which would include making batteries and car-internet services and the platforms would be offered to automobile makers.
Liu added that in order to reach the target of 10 per cent of the global electric vehicle volumes, which would translate to around three million vehicles, partnerships and ventures with multiple auto makers would be struck by Foxconn.
No further details on any for of revenue targets or other details was provided by Liu because of restrictions due to “ongoing talks”.
According to announced plans of the company, it will launch its venture for making solid state car batteries in 2024. Those batteries are designed to have much higher power storage capacity compared to the current batteries for electric vehicles. 
Foxconn’s Taipei-listed shares closed up 0.6% on Friday, outperforming the broad market, which ended 0.6% weaker.
Efforts for building up supply chains in China and the United States were being made by Foxconn, Liu has said earlier this year, even as the company plans to implement a its plans to diversify its investments around the world which it expects to continue for a nuymber4 of years.

Christopher J. Mitchell

Markets | Companies | M&A | Innovation | People | Management | Lifestyle | World | Misc