Geely and Foxconn form partnership to build cars for other automakers

Geely and Apple assembler Foxconn will each hold 50% of a venture that will also provide consulting services on electric vehicle (EV) technologies to automakers.
By : Reuters
| Updated on: 13 Jan 2021, 14:50 PM
Representational photo of electric cars (REUTERS)
Representational photo of electric cars (REUTERS)
Representational photo of electric cars (REUTERS)
Representational photo of electric cars

Taiwan's Foxconn and Chinese automaker Zhejiang Geely Holding Group said on Wednesday they will join hands to provide contract manufacturing for automakers.

They will each hold 50% of a venture that will also provide consulting services on electric vehicle (EV) technologies to automakers, the companies said in a statement.

It marks the latest move by Foxconn, a major Apple Inc supplier, into autos after a tie-up with Chinese electric car startup Byton and comes amid reports that Apple is likely to launch a self-driving electric car by 2024.

Similar Cars

Find More Cars
Hyundai Kona Electric (HT Auto photo)
Hyundai Kona Electric
cc | Electric | Automatic
₹23.79 - 23.98 Lakhs**Ex-showroom price
Kia Sonet (HT Auto photo)
Kia Sonet
1197 cc | Petrol | Manual | 18.4 kmpl
₹6.79 - 13.55 Lakhs**Ex-showroom price
Maruti Suzuki Dzire (HT Auto photo)
Maruti Suzuki Dzire
1197 cc | Petrol | Manual | 23.26 kmpl
₹5.89 - 9.09 Lakhs**Ex-showroom price
Maruti Suzuki Baleno Facelift (HT Auto photo)
Maruti Suzuki Baleno Facelift
1197 cc | Petrol | Manual
₹6.5 - 10 Lakhs**Ex-showroom price
Tata Nexon (HT Auto photo)
Tata Nexon
1199 cc | Petrol | Manual | 17.4 kmpl
₹7 - 13.24 Lakhs**Ex-showroom price

For Geely, the partnership will allow it to share its first EV-focused platform, launched in September, with other automakers, according to people familiar with Geely's plan.

(Also read | Apple assembler Foxconn to make electric SUVs with China's Byton)

FOLLOW US:Stay Updated with latest content - Subscribe us on
FOLLOW US:Stay Updated with latest content - Subscribe us on

It is also the second deal this week announced by Geely, which said it will work with Chinese search engine giant Baidu Inc to make electric vehicles.

Geely, which owns Volvo Cars and holds 9.7% of Daimler AG , is keen to improve the capacity utilisation rate of its plants around China, said the sources, who were not authorised to speak to media and declined to be identified.

Its main listed company, Geely Automobile, has the capacity to build more than 2 million vehicles a year but sold only some 1.32 million in 2020. Geely Automobile plans to issue shares on mainland China's STAR board this year.

(Also read | Apple assembler Foxconn aims to supply 3 million electric vehicles by 2027)

Foxconn, whose official name is Hon Hai Precision Industry Co Ltd, said in October it aimed to provide components or services to 10% of the world's EVs by 2025-2027.

Geely shares climbed 1% on the news. Foxconn shares finished 2.4% higher prior to the companies' announcement.

First Published Date: 13 Jan 2021, 14:50 PM IST
Recommended For You
View All
NEXT ARTICLE BEGINS

Please provide your details to get Personalized Offers on

Choose city
+91 | Choose city
Choose city
Choose city
By clicking VIEW OFFERS you Agree to our Terms and Privacy Policy

Dear Name

Please verify your mobile number.

+91 | Choose city