Foxconn Photo: VCG
Apple original equipment manufacturer (OEM) Foxconn has recently set up a subsidiary in Zhengzhou,
MK sports Korea Central China's Henan Province, to produce new-energy batteries, according to domestic media reports on Friday.
Foxconn New Energy Battery (Zhengzhou) Co was recently established, with a registered capital of 600 million yuan ($84.22 million), the Securities Times newspaper reported on Friday, citing data from Qichacha, a domestic business data platform.
The new company's business scope includes battery production and sales, research and development of auto parts, and auto parts manufacturing. The company is wholly owned by Foxconn New Business Development Group Co, according to the report.
It was reported in late October that Foxconn New Business Development Group Co had secured a land lot measuring 2.84 hectares for 150 million yuan, with plans to develop electric vehicles (EVs), batteries, robotics, and digital medical services.
The moves came after Foxconn set up its New Business Development Group Co in June 2023, with the aim of manufacturing new-energy vehicles. The development of basic software in artificial intelligence was also among its business scope.
The establishment of the battery plant also comes after an EV production center was announced in July that caters to "well-known domestic and foreign automobile brands," according to media reports.
Foxconn is transitioning from a manufacturing services provider to a solutions platform company, Foxconn Chairman Young Liu said in November 2023. The company also aims to build the Zhengzhou Airport Economy Zone into a "core production base for Foxconn's new-energy vehicle segment," according to the company in July.
Foxconn has a massive manufacturing presence in Zhengzhou, which is home to the world's largest iPhone factory.
Despite facing protectionist headwinds in the US and the EU, China's NEV industry is continuing to see steady growth.
Sales of new-energy vehicles saw a marked rise of 32.5 percent year-on-year in the first nine months of 2024 to reach 8.32 million units, data from the China Association of Automobile Manufacturers showed on Thursday. Exports of new-energy vehicles hit 928,000 units, growing by 12.5 percent during the period.
Global Times
