Apple Supplier Foxconn Aims To Serve 10% Of All Electric Vehicles Globally Within Next 7 Years

Apple Inc AAPL supplier Foxconn, formally known as Hon Hai Precision Industry Co, Ltd HNHPF, has plans to supply components or services for at least 10% of the world’s electric vehicles, the company’s chairman, Liu Young-way, told Reuters on Friday. 

What Happened: The Taiwanese electronics giant aims to meet this target between 2025 and 2027 — hoping to emerge as a supplier and provider of components to auto manufacturers, Reuters reported.

Liu told Reuters that he wants to push Taiwan’s EV industry “to the world.” The executive said that Foxconn is aiming to make ready its "open platform," which would build key EV components, including battery and car internet services, as early as possible.

“We need to move fast to grab market share,” said Liu. 

The company is talking to multiple automobile manufacturers, according to Liu — who declined details to Reuters but said that the progress was “relatively good.”

Liu disclosed that Foxconn has no plans to manufacture cars but will make key components for EVs in partnership with global automakers to reach its 10% goal.

Why It Matters: The Taipei-headquartered company has plans to launch its first solid-state battery for EVs in 2024, which Liu said is a high-capacity storage device that improves on its current offerings, as per Reuters.

In January it was reported that Fiat Chrysler Automobiles N.V. FCAU was in talks with Hon Hai to create a joint venture to manufacture a new generation of EVs in China.

The two companies also planned to work on a distributed network known as the Internet of Vehicles.

Tesla Inc. TSLA CEO Elon Musk said before the company’s battery day event in September that the automaker and its battery suppliers put together aren’t enough to fulfill its need for batteries.

Price Action: Hon Hai OTC shares closed unchanged at $5.48 on Thursday.

Related Link: Apple Supplier Foxconn Fails To Secure Wisconsin Tax Credits As It Misses US Jobs Target Second Year In A Row