“We are quite confident in the stability of our supply chain for the second half of this year,” Foxconn chairman Liu Young-way said in a Reuters report.
The signs are evident from the Shanghai government’s policy of allowing residents in “low-risk” areas to return to work from Tuesday.
Foxconn is aiming to become the first electric vehicle (EV) maker “not short on material supplies”, Liu said
The global supply chain crisis itself has made automotive manufacturers stop production. Not only affecting the automotive industry, the supply chain crisis has also weighed on smartphone manufacturers, such as Apple Inc, which is a major client of Foxconn.
“A car that costs tens of thousands of dollars cannot be shipped because of a tiny chip worth fifty cents. This has been a pain for our customers,” he said.
Foxconn aims to capture about 5% of the global electric vehicle market by the end of 2025 and says it hopes to increase its capacity to make EV chips.
Foxconn’s own revenue is forecast to decline this quarter due to rising inflation, declining demand and supply chain problems