The manufacturer of iPhones will produce electric cars

The manufacturer of iPhones will produce electric cars

January 17, 2020 0 By autotimesnews

One of the largest manufacturers of semiconductor products Foxconn, whose factories produce Apple gadgets, announced its readiness to start production of cars with electric motors for the Chinese market. Development will not start from scratch – the company will be assisted by the Fiat Chrysler concern, which has extensive experience in the automotive industry.

Future partners will focus on the joint development of electric vehicles. Both companies have officially announced that Fiat Chrysler (FCA) will be responsible for bodywork and assembly, while Foxconn will be tasked with creating electronics and software for future products. Both sides have been actively negotiating for several months. At the moment, the contract between the corporations has not been signed, but industry sources claim that this is a “matter of a few days.”

FCA, which includes brands such as Jeep and Dodge, is extremely interested in establishing such a production, since the group in the electric car market lags far behind its competitors. The Chinese market is one of the fastest growing in terms of the transition of the population to electric transport. In 2019, it grew by 6%, despite a general decrease in sales of electric cars by 8% compared to 2018.

Analysts are confident that in the next ten years, the Chinese electric car market will outperform European and US markets. The forecast of Foxconn chairman Yang Liu is as follows: if FCA and Foxconn engage in the production of electric vehicles for China, it is possible that the share of revenue from this project in the total sales of the factory will be about 10%.