Published , by Sam Chandler
Published , by Sam Chandler
As electric vehicles become more common, it comes as no surprise that more companies are looking into the industry. The latest company that wants to expand further into the field is Foxconn, known for its assembly of Apple’s iPhones. While it does have its own line of electric vehicles currently on the road in Taiwan, the CEO of the company has stated his desire to manufacture Tesla’s electric vehicles.
As reported on by CNBC on October 18, 2022, Young Liu, CEO of Hon Hai Technology Group (Foxconn), stated that he hopes the company will one day manufacturer Tesla’s electric vehicles. While the company is mainly known for assembling Apple’s iPhones, it has starting to target different areas in technology, with the most notable area being electric vehicles.
During an event in Taipei, Taiwan, Liu said the company is targeting a 5 percent market share in the electric vehicle sector by 2025. The event was an opportunity for the company to showcase its own line of electric vehicles, which now includes the Model V pickup truck and Model B sports car.
According to Liu, the company doesn’t want to sell its own vehicles but instead manufacture and design vehicles for other companies, with Tesla being chief among them. Foxconn claims that it would be able to manufacture the vehicles at a reduced cost and time for other companies were they to use Foxconn’s services.
Tesla currently manufacturers its vehicles at its many Gigafactories, with the latest opening in Texas back in April 2022. It was at this event Tesla revealed the new Tesla Cybertruck prototype and Musk spoke about the company working on a dedicated Robo Taxi electric vehicle. Given the cost of creating these Gigafactories, it will be interesting to see whether Tesla entertains the idea of utilizing other companies in the creation of its numerous vehicles. It could very well aid in the company hitting its delivery expectations, which it has missed in the third quarter.
There is a Tesla (TSLA) Q3 2022 earnings call just around the corner, which could be an opportunity for investors to hear what Tesla thinks about Foxconn’s desire to make its EVs. We’ll be sure to keep you updated via our Tesla page.