Taiwanese manufacturing giant Foxconn has finalized the sale of its Lordstown facility in Ohio, which it acquired in 2022 for electric vehicle production, to Crescent Dune LLC, an existing business partner, for $88 million.
Despite the sale, the company stated it will maintain operations at the facility and intends to reinvest the proceeds to grow its presence in the U.S. In addition, the company is also selling machinery and equipment from its electric vehicle subsidiaries to Crescent Dune for a further $287 million, bringing the total value of the deal to $375 million.
Foxconn purchased the facility from the bankrupt startup Lordstown Motors, positioning it as a key site for electric vehicle production. However, supply chain disruptions, evolving market conditions, and shifts in company strategy caused production to stall, leaving the facility largely underused.
The Lordstown plant was originally a General Motors assembly facility that closed in 2019. It was later briefly revived by Lordstown Motors, which aimed to produce electric pickup trucks. However, that effort collapsed due to financial difficulties, paving the way for Foxconn’s acquisition.
As reported by GM Authority, the company struggled to scale operations at the site, managing to produce only a limited number of vehicles amid legal disputes and operational challenges.
Foxconn’s acquisition of the Lordstown facility was part of a wider plan to tap into the growing electric vehicle market, involving collaborations and investments in battery technology.
Foxconn assured that the existing workforce and operations will remain unaffected by the change in ownership. The company will continue to utilize the facility for electric vehicle programs, component production, and advanced manufacturing without bearing the financial burden of ownership.
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