Taiwan electronics manufacturer Foxconn is on the verge of securing a partnership with Japan’s Mitsubishi Motors to jointly manufacture electric vehicle models, as reported by Nikkei Asia.
If finalized, the agreement would represent a major achievement in the company’s long-term efforts to solidify its position in the EV market by partnering with renowned automaker Mitsubishi as a vital ally.            Foxconn Chairman Young Liu views the partnership with Mitsubishi as an opportunity to showcase the company’s electric vehicle expertise. He also emphasized the collaboration could open doors to future partnerships with other automakers.
Talks regarding the EV project have been ongoing for over six months.
Under the agreement, Mitsubishi, with its well-established presence in Southeast Asia, would sell Foxconn-manufactured vehicles under its own EV brand. The models are yet to be determined. The agreement is anticipated to reduce Mitsubishi’s production expenses, enabling the automaker to allocate more funds toward advancing technology.
Foxconn has encountered considerable obstacles in its entry into the EV industry, particularly due to competition from Chinese manufacturers. Additionally, PTT Group has scaled back its investment in its joint EV venture.
Since taking over in 2019, Chairman Liu has focused on EVs and robotics as key growth areas. Foxconn aims to become a competitive EV manufacturer by 2025 to reduce reliance on its consumer electronics business. The company collaborated with Taiwan’s Yulon Motor, a contract manufacturer for Nissan, to roll out EV models and has also introduced electric buses in Taiwan.
Liu acknowledged that the company would fall short of its target to secure a 5% share of the global EV market this year.
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