Key Apple Inc (NASDAQ:AAPL) supplier Hon Hai Precision Industry Co Ltd (OTC:HNHPF) and an Indonesian government agency last week held discussions related to a possible electric vehicle investment in the country, Nikkei Asia reported on Sunday.
What Happened: The Taiwan-based Apple supplier, better known as Foxconn, reportedly plans to build electric vehicles and batteries in Indonesia, both for two and four-wheelers.
The investment, if it goes through, would be a huge boost for Indonesia as it looks to diversify itself as a key player in the global electric vehicle supply chain.
See Also: Apple Supplier Foxconn Unveils 3 EVs Including Sedan, SUV, Bus
Foxconn chairman Young Liu met Indonesia’s Investment Coordinating Board, as per the report.
Why It Matters: Foxconn last week revealed three electric vehicle prototypes that include a sedan, a sports utility vehicle and bus, and said it aims to turn electric vehicles into a $35 billion business in five years.
The Apple supplier had earlier this month confirmed a deal with pre-production electric vehicle startup Lordstown Motors (NASDAQ:RIDE) to buy its Ohio assembly plant and build electric vehicles there for its partner Fisker Inc (NYSE:FSR).
Indonesia is also the largest producer of nickel, a key ingredient used in making electric vehicle batteries.
Price Action: Foxconn shares closed marginally higher at $7.79 a share on Friday.
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Photo: Courtesy of Foxconn