Foxconn acquires more land in Vietnam to add $100 mln

Apple’s biggest contractor Foxconn will add another $100 million to Vietnam as the Taiwanese electronic giant pushes ahead with efforts to shift more production away from mainland China as part of global supply chain diversification.

The new investment is for an electronic components plant in WHA Industrial Zone 1 in the central province of Nghe An.

“The investment procedures have been completed,” Le Tien Tri, head of the management board of the Southeast Nghe An Economic Zone, told The Investor on Thursday.

The production site is 48 hectares, and this $100 million investment will be for the facility’s phase one, he said.

Foxconn is listed as 2354 on the Taiwan Stock Exchange, or TWSE. According to TWSE data, the production site is at Lot B3 in WHA Industrial Zone 1. Foxconn has obtained a lease with the industrial park for 48 hectares for more than VND509.5 billion (over $21.7 million), according to an exchange filing to TWSE on Tuesday.

In February, the tech giant signed a lease for a plot of 50 hectares in Quang Chau Industrial Park in Bac Giang province near Hanoi for around $62.5 million to meet “operational needs and expand production capacity”, according to another exchange filing to TWSE at that time.

The land leasing deal will run until February 2057, and the production project is expected to create more than 30,000 local jobs, according to Quang Chau IP data. The giant has not disclosed products to be made by this facility.

At Quang Chau IP, Foxconn had earlier leased 70 hectares for its facilities and spent a total of $773 million on them.

Foxconn has been producing iPads and AirPods in Vietnam for Apple Inc. It plans to start making MacBooks for Apple this May.

The Taiwanese heavyweight announced last August an investment of $300 million to expand its manufacturing capacity in northern Vietnam.