Supplier of Apple Will Build $10 B Factory in US

foxconn 10 b

Supplier of Apple, Foxconn, also the world’s largest electronics contract manufacturing company, has just announced that it will create a new factory to manufacture LCD screens in Wisconsin, USA.

The news was announced at an event attended by Foxconn boss Terry Gou and US President Donald Trump, who aggressively encouraged local and foreign companies to invest in the US.

According to The Verge report, Foxconn plans to spend USD10 billion within 3 years to make of 20 thousand feet large building, which will employ at least 3,000 people at the beginning of its opening.

The Trump Administration said the Foxconn investment could create jobs for up to 13,000 people. Going forward, Foxconn could make new plants elsewhere in the US such as Illinois, Indiana, and Michigan.

The LCD screen manufactured at Foxconn’s new factory is made for TV makers, Sharp. Foxconn parent company, Hon Hai, does have a stake in Sharp, which they bought for $ 3.5 billion last year. Given that the US is Sharp’s largest market, it is not strange that Foxconn built a factory in the country. That way, they can reduce freight costs.

The announcement from Foxconn comes a day after Trump boasted in an interview with The Wall Street Journal that Apple CEO Tim Cook has pledged to build “three big factories” in the US.

However, it remains unclear whether Apple will indeed build a factory in the US or Apple supplier that will build a factory in the US. Apple declined to comment when asked regarding the conversation between Cook and Trump.

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