Foxconn, the world's largest contract electronics maker, has injected $100 million into its Singapore unit FIT Singapore to add to a new production project in Vietnam, according to the Taiwan Stock Exchange (TWSE).
Through FIT Singapore, or Foxconn Interconnect Technology Singapore Pte. Ltd., FIT Hon Teng, a subsidiary of Taiwan-based Foxconn, is going to put this new investment into Fu Wing Interconnect Technology (Nghe An) Co. Ltd. as part of the manufacturing giant’s global supply chain diversification.
Foxconn is Apple’s biggest contractor and its shares are traded on the TWSE. Meanwhile, FIT Hon Teng is listed in Hong Kong.
The investment procedures for the giant’s new factory in the central province of Nghe An were completed in May, Le Tien Tri, head of the management board of the Southeast Nghe An Economic Zone, told The Investor on May 11.
The production site covers 48 hectares, and this $100 million investment will be used for phase one of the facility, he said.
Foxconn has selected WHA Industrial Zone 1 in Nghe An for the project. A May exchange filing to TWSE shows the production site is in Lot B3 which Foxconn obtained a lease for costing more than VND509.5 billion (over $21.7 million) in the same month.
In February, the tech giant signed a lease for a 50-hectare site 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.
In late June, the northern province of Quang Ninh granted investment certificates to two Foxconn projects with total registered capital of $246 million.
FECV Foxconn Quang Ninh, with an investment of $200.24 million, will manufacture and assemble electronic components, chargers, and charger controllers for electric vehicles.
FMMV Foxconn Quang Ninh, with an investment of $46 million, will produce components for communications and IT products.
Also as part of global supply chain diversification, FIT Hon Teng of Foxconn is expanding production capacity in India by investing a further $400 million, according to an announcement posted on TWSE at the weekend.
Through FIT Singapore, FIT Hon Teng will spend $400 million to invest in Chang Yi Interconnect Technology (India) Private Ltd. According to Foxconn, Chang Yi Interconnect Technology had previously acquired a parcel of land located in Hyderabad city in the Indian state of Telangana to build a factory, a research and development center, and dormitories. Construction of the factory started in mid-May.