Revving Up for the Future: Foxconn Teams Up with Mitsubishi for Electric Vehicle Production

Foxconn, the powerhouse behind Apple’s iPhones, is shifting gears into the electric vehicle (EV) sector by partnering with Mitsubishi Motors. This groundbreaking agreement marks Foxconn’s entry into the burgeoning EV market, where it plans to design and manufacture vehicles in Taiwan for Mitsubishi.

The new model is anticipated to launch by the end of next year, positioning it as Foxconn’s first major contract in an industry that is rapidly evolving and is fiercely competitive. As Japanese automotive manufacturers like Mitsubishi face intensified competition from Chinese companies, the collaboration is critical for Mitsubishi, particularly in overseas markets such as South East Asia, South America, and Europe.

These vehicles will be crafted by Foxtron, a joint venture formed by Foxconn and Yulon Motor, a Taiwanese car manufacturer. According to the companies, the cars are also expected to enter the markets of Australia and New Zealand by the second half of 2026.

Currently, the agreement between Foxconn and Mitsubishi is classified as a memorandum of understanding, indicating a preliminary agreement that is non-binding. However, both companies have expressed commitment to moving towards a definitive agreement.

As the world’s largest contract electronics manufacturer, Foxconn is looking to broaden its horizons beyond technology and into the auto manufacturing space. The company has previously shown interest in potentially acquiring a stake in Nissan, aiming for closer cooperation within the automotive industry. This strategic partnership is particularly timely, considering the rapid expansion of China’s automotive market and its emergence as a leader in the EV segment. The challenges posed by significant players like BYD have spurred traditional carmakers to innovate swiftly, making this collaboration between Foxconn and Mitsubishi a pivotal development in the race to capture the EV market.