by Following reports that Taiwanese contract manufacturer Foxconn was close to sealing deals with two Japanese car manufacturers, unnamed sources indicate that Mitsubishi is one of the companies involved. If the deal is struck, it could be a significant change, with Mitsubishi potentially turning to Foxconn for production on its territory. For several years, Foxconn has been trying to reduce its dependence on consumer electronics and expand into the electric vehicle market, seeing this as an important growth driver. The company aimed to capture 5% of the global electric vehicle market by 2025 and had previously signed deals with Lordstown and China’s Byton. Although it has not yet achieved the growth it hoped for, a deal with Mitsubishi could be a significant breakthrough for the company.
According to information, Foxconn has been in negotiations with Mitsubishi for over six months. The company sees this partnership as an opportunity to validate its manufacturing capabilities, hoping it will help attract other established car manufacturers. Details on what electric vehicles Foxconn may produce are not yet known. The Japanese car maker is expected to launch a new electric vehicle in the US market next year, and little is known about the model. However, initial reports suggest it could be a coupe-crossover, adding another option to the electric vehicle market.
Regarding Foxconn’s broader plan in the electric vehicle sector, it is worth noting that later last year it expressed interest in acquiring Nissan, but Nissan decided to enter negotiations with Honda for a potential merger. However, the talks fell through in early February. It is said that the Taiwanese company is still open to, and likely will try to make a deal for, the production of future electric vehicles of the brand. Currently, Foxconn has many tasks as it aims to play an increasingly significant role in the electric vehicle market. In addition to collaborating with known brands, it will start production of its own Model B, a fully electric hatchback similar in size to the VW ID.3.
It also plans to start production of the larger Model C in North America during the fourth quarter of this year.
