iPhone Assembler Foxconn Ramps Up Investment in Mexico
in response to changes in U.S. policy and requests from clients, some Taiwanese tech suppliers, including leading iPhone assembler Foxconn, are increasing their production capacity in Mexico.
According to Nikkei Asia, the move comes partly in response to meeting the growing demand for electric vehicles and servers to be made in North America.
Foxconn has recently set up a headquarters in Mexico to centralize the management of its subsidiaries and business groups in the region.
Being the world’s biggest contract electronics manufacturer, Foxconn is now prioritizing electric vehicles as its next growth driver amid the slowing smartphone market.
“Foxconn has secured new EV clients there. Mexico is one of the key locations for the company’s strategic investments this year,” a person with direct knowledge of the matter told Nikkei Asia. “Foxconn will have three local manufacturing options for EV clients in North America: Ohio, Wisconsin and Mexico.”
American EV startups Lordstown, Fisker, and INDI EV are among Foxconn’s automotive clients.
Other manufacturing giants planning to grow their manufacturing presence in Mexico this year include:
- Quanta Computer
- Compal Electronics
Their moves to allocate resources to Mexico signal that the supply chain shift is extending from the East to the West.