Taiwanese company Foxconn, renowned for manufacturing Apple iPhones, is reportedly preparing to venture into the electric vehicle (EV) manufacturing market in India. According to the Economic Times, Foxconn has initiated discussions with several state governments in India.
To discuss its EV plans, an Indian delegation will soon visit Taiwan and hold meetings with Foxconn executives. However, it remains uncertain whether Foxconn will engage in contract manufacturing for multiple brands or form a joint venture (JV) with a single entity, as stated in the ET report.
“They have a partnership with an electric scooter manufacturer named Ather Energy, but it’s possible that they will look for an additional supplier when they enter the market, perhaps with one of the Indian auto giants, as they did for semiconductors,” a source told ET.
Foxconn will like to create a vertical platform that includes hardware, component production and battery management along with production. After that, the Taiwanese company will start contacting regional businesses, the report added.
Back in February last year, Vedanta and Hon Hai Technology Group, a part of Foxconn, established a joint venture to manufacture semiconductors for the Indian market. As part of this collaboration, Foxconn and Vedanta invested $19.5 billion to establish semiconductor and display production plants in Gujarat.
In its recently released annual report on May 31, Foxconn revealed its plans to set up a production line in India this year specifically for two-wheeler electric vehicle (EV) manufacturing services. This marks the first explicit effort by the Taiwanese company to achieve its EV production objectives in India.
During Foxconn Chairman Young Liu’s previous visit to India, Prime Minister Narendra Modi noted that the company’s focus on EV production aligns with India’s goal of achieving net-zero emissions. During their visit to India in 2022, senior Foxconn executives spoke with representatives from Maharashtra, Telangana, Tamil Nadu, and Andhra Pradesh to talk about their EV plans.
The portal’s sources claimed that Foxconn has an interest in Maharashtra, but it may also take into account Tamil Nadu, given its existing hub for automobile production. Telangana, which is also competing in the race, can be considered for its active outreach and incentive.
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