Foxconn announced on the evening of July 2nd that its Vietnamese subsidiary, Fulian Precision Technology Component, will invest 1.196 billion US dollars (about 39 billion New Taiwan dollars) to lease land and build a factory in Bac Giang province, Vietnam. Industry insiders pointed out that the main purpose of this investment is to expand the production capacity of key components locally.
According to Foxconn's annual report, Fulian Precision Technology Component was established in January 2023 with a capital of 200 million US dollars. It is located in the Quang Chau Industrial Zone in Bac Giang province, Vietnam, and mainly manufactures electronic components, motherboards, computers and peripherals, servers and server casings, communication equipment, network cards, network switches, digital TV receivers, display cards, and security products.
Vietnamese media reported in late February this year that Foxconn Group has factories in Dinh Tram and Quang Chau industrial zones in Bac Giang province, Vietnam. In mid-February 2023, Foxconn announced the investment of 1.47 trillion Vietnamese dong (about 18.97 billion New Taiwan dollars) to acquire land use rights assets in the Quang Chau Industrial Zone of Bac Giang province through Fulian Precision Technology Component, in response to business operations and capacity expansion.
In September 2021, Foxconn also announced that the group, through its subsidiary, increased its capital through debt-to-equity conversion to increase Vietnam's FuKang Technology by 80 million US dollars (about 2.216 billion New Taiwan dollars) to expand the tablet and laptop production lines in the Quang Chau Industrial Zone of Bac Giang Province. It is speculated that this is related to the layout of Apple products.
On the other hand, Foxconn also announced that its subsidiary, Benchmark Precision Industry in Huizhou, China, has disposed of real estate to Huizhou Shengxing Creative Industry Park Co., Ltd. for 428 million RMB (about 1.92 billion New Taiwan dollars).
Foxconn stated that the purpose of this disposal is to activate assets, and it expects to receive 158.2 million RMB (about 710 million New Taiwan dollars) from the disposal.
(Author: Rong-Feng Zhong; Image source: Technology News)