Foxconn [2354:TT] announced on August 12 its plans to construct electric vehicle (EV) factories in the US and Thailand in 2022 and start mass production in 2023, as reported by Nikkei on the same day. The firm’s chairman Liu Young-way said at the shareholders’ meeting that in addition to the planned two factories, Foxconn was also considering building plants in Europe. The company would select its US facility’s location among three states, including New Mexico and Wisconsin, to produce vehicles for clients like Fisker [FSR:US]. As for the future Thai factory, Foxconn would unit with Thailand’s oil giant PTT [PTT:TB] to produce more than 2m EVs each year.
The idea of the US factory began with the Personal Electric Automotive Revolution (PEAR) project held by Foxconn and the US EV developer Fisker this May. This project aims to develop a new platform named FP28 and Fisker’s second EV model, which would be put into mass production in the US since 4Q23. The new model will be available in regions and countries including North America, Europe, China, and India. Another partnership with PTT began this May as well. The two companies will work together to make EVs and components in Thailand. Moreover, the project would provide an open EV platform covering both hardware and software services.
Prior to the foreign EV manufacturing plans, Foxconn had set an ambitious target in 2020 that aimed at providing components or services to cover 10% of worldwide EVs between 2025 and 2027. To achieve the goal at a fast speed, Foxconn is constantly in talks with multiple EV companies for collaborations. For instance, this January, Foxconn formed a JV with Chinese automaker Geely Automobile [0175:HK] to provide contract manufacturing services for automakers. Another partnership with Vietnam’s conglomerate Vingroup came two months after the Geely deal. According to Reuters, Foxconn and Vingroup would work together in battery development and EV production.