JAKARTA - Taiwanese tech giant Foxconn, previously known as Apple's iPhone maker, announced on Tuesday, October 18 that it hopes to one day build cars for Tesla. This hope arises in line with the increasing production of electric vehicles (EV) in a strategy to diversify its business products.
Speaking at the company's annual Technology Day, Chairman Liu Young-way said Foxconn, the world's largest electronics contract maker, wants to emulate its success in assembling consumer gadgets as it expands EV manufacturing for car brands.
"Based on our previous record for the PC and mobile market, we are around 40-45% of the overall market share. So, in terms of ambition, hopefully we can achieve the same achievements as in previous years. The ICT (information technology and technology) industry communication), but we will start small, which is about 5% by 2025," Liu said, as quoted by Reuters.
"I hope one day we can make Tesla cars for Tesla," he added.
Tesla Inc, which did not immediately respond to a request for comment on Liu's remarks. The company, founded by Elon Musk, makes all of its own EVs and has been rapidly increasing production capacity in the US and Europe.
Tesla CEO Elon Musk even angered many in Taiwan this month when he suggested tensions between China and Taiwan could be resolved by ceding some control of Taiwan to Beijing.
Liu said Foxconn is not in the business of selling its own EV brand but wants its customers to sell "a lot" of EVs, which will be made in Taiwan, Thailand and the United States. Liu also added that Foxconn is negotiating with partners in Indonesia and India.
The company, which has expanded into EVs and semiconductors in recent years, announced deals with US startup Fisker Inc and Indian conglomerate Vedanta Ltd.
“Foxconn leveraged its “48-year roots in ICT manufacturing” to halve EV design time and cut development costs by a third,” Liu said.
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He also added that the Luxgen n7, an EV built by Foxtron, a joint venture between Foxconn and Taiwanese automaker Yulon Motor Co Ltd, had received 15,000 pre-orders in less than two days.
"Despite the challenges of conflict in Europe and COVID globally, Foxconn has maintained our EV strategy," said Liu. "Supply chain resilience has always been in Foxconn's DNA. Our global footprint in 24 countries gives us a huge advantage to meet the demands of the EV industry."
The annual tech fair takes place on the birthday of the company's billionaire founder Terry Gou. At that time he was introduced as a special guest. Gou took the stage with one of two prototypes unveiled this year, the sporty crossover hatchback Model B.
Another prototype launched was the Model V, an all-terrain pickup. Three prototypes - an SUV, a sedan and a bus - were launched last year, and the Foxtron electric bus is already operating in several cities in Taiwan.
"Our sincere hope is that Taiwan can take advantage of the rare once-in-a-hundred-year EV business opportunity," Liu said.
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