Foxconn's $2.2 Billion Investment in India and the US Approved by Taiwan

Taiwan Approves Foxconn's Major Investment

The Taiwanese electronics powerhouse, Hon Hai Precision Industry Co., commonly recognized as Foxconn, has secured governmental approval to invest more than $2.2 billion in both India and the United States, as reported by Focus Taiwan.

This endorsement was granted by Taiwan's Ministry of Economic Affairs. Of the total investment, approximately $1.49 billion is earmarked for Foxconn's subsidiary based in Singapore.

The Singapore branch will allocate these funds to invest in Yuzhan Technology (India) Private Ltd., another subsidiary of Foxconn. This financial injection aims to establish a new manufacturing facility in India dedicated to producing iPhones and their components.

Industry analysts suggest that this initiative is part of Foxconn's strategy to relocate some of its production away from China amid ongoing trade disputes with the United States. India is increasingly becoming a pivotal location for the manufacturing of iPhones and their parts.

Additional Investment Plans

Foxconn has also received approval to utilize $735 million to create a new entity in the US named Project ETA (DE) LLC. This venture will concentrate on manufacturing equipment for data centers and assembling servers.

In its quest for global expansion, Foxconn is enhancing its footprint in various countries, including the US, India, Mexico, Vietnam, and several European regions.

Currently, the company operates 223 factories and offices across 24 nations, with 54 located in the Americas, 12 in Europe, and another 12 in India.

In addition to Foxconn, other firms have also been granted investment approvals. Cathay United Bank, part of Cathay Financial Holding, has been authorized to invest $160 million into its branch in Ho Chi Minh City, Vietnam, to bolster its lending operations.

Moreover, AUO Mobility Solution Corp., a subsidiary of AUO Corp., has been permitted to invest $20 million in its Xiamen branch in China, which specializes in manufacturing display components for vehicles.

Lastly, Hong Kong-based Royal Seal Holding Co. has received approval for an investment of approximately $3.29 million in its Taiwan branch, which is focused on cancer treatment. Cowealth Medical Holding Co., a Taiwanese firm, is a significant shareholder in Royal Seal.