Foxconn invests in EV battery plant in China to diversify business beyond Apple’s iPhones

The US$82 million capital injection marks the Taiwanese giant’s latest foray into the electric-vehicle sector

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The Foxconn building in Taipei. Photo: Reuters

Published: 4:30pm, 24 Dec 2024

Major Apple supplier Foxconn Technology Group is injecting 600 million yuan (US$82 million) into a new electric-vehicle (EV) battery plant in Zhengzhou, capital of central Chinese province Henan, where it runs the world’s largest iPhone factory.

The company, formally known as Hon Hai Precision Industry, on Monday announced its “long-term investment” in Foxconn New Energy Battery (Zhengzhou), which was established in October, according to a filing to the Taiwan Stock Exchange.

The initial capital injection of 350 million yuan was made through Foxconn New Business Development Group, which fully owns the battery unit, it said.

The move marks the latest step by the Taiwanese giant to diversify its revenue sources with forays into EVs, semiconductors and robotics. It established the Foxconn New Business Development Group in Zhengzhou in June last year, with 1 billion yuan in registered capital, to conduct business in EV sales and battery production.

The Foxtron Model B electric vehicle designed by Foxconn as part of a joint venture. Photo: EPA-EPE

A 70,000-square-metre headquarters for the new business is under construction in the city.