Foxconn New Business In China

2024-07-26 22:50

Foxconn Technology Group, the world's largest electronics manufacturing contractor, plans to invest 1 billion yuan ($138.5 million) to establish a new business headquarters in Zhengzhou, Henan province, as the company is diversifying revenue sources and reducing its heavy dependence on assembling Apple's iPhones.

With a construction area of approximately 70,000 square meters, the new headquarters will primarily focus on the trial manuf

acturing of electric vehicles and solid-state batteries, aiming to build a global high-end manufacturing industrial chain and an ecosystem for strategic emerging industries, Foxconn said.

The company has signed a strategic partnership with the Henan provincial government. According to the agreement, Foxconn will accelerate the development of EVs, energy storage batteries, digital health and robotics in the province.

Setting up a new business headquarters in Zhengzhou serves as a very important part of Foxconn's new business development on the Chinese mainland, the company said. The EV production center will provide manufacturing services for renowned domestic and foreign automobile brands, with the goal of building the Zhengzhou Airport Economy Zone into a "core production base for Foxconn's new energy vehicle segment", it added.

In recent years, Foxconn has been concentrating on its "3+3 strategy" — EVs, digital health and robotics — which are three emerging industries underpinned by three new technologies, namely artificial intelligence, semiconductors and new-generation mobile communications.

Foxconn, formally known as Hon Hai Precision Industry Co, is a key contract manufacturer for Apple products. It has major production bases in Shenzhen, Guangdong province and Zhengzhou.