Foxconn and Sharp To USA

Foxconn and Sharp are scrambling to establish its foothold in the United States in a bid to secure its position as an Apple supplier. This is recently demonstrated by Sharp’s announcement that it is mulling the opening of an LCD plant in the country.

Foxconn has acquired Sharp last year for $3.5 billion.

The announcement, which was made by a Sharp executive last Jan. 13, is not yet set in stone as officials stress that they will be making the decision carefully.

Sharp’s announced plan also seems part of Softbank’s much publicized support for Trump’s Make in America initiative. According to the Sharp official, the move to open an LCD facility was suggested by Masayoshi Son, who is Softbank’s chairman. He has been recently seen paraded around Trump Tower as the president-elect trumpeted Softbank’s planned U.S. investments.

Although details about the cost of the plant and its location remain unspecified, people familiar with the plan said Foxconn would spend about the same amount on constructing the U.S. location as it did on a similar facility in Guangzhou — around 1 trillion yen, or $8.69 billion.

Foxconn and Apple both have manufacturing facilities on a very small scale in the U.S., but the newly discussed facility by Foxconn and Sharp would be notably larger. Currently, Foxconn has plants in Virginia and Indiana, along with logistic locations in California and Texas. Apple has a comparably limited facility in Austin, Texas which manufactures the company’s Mac Pro.

Published by

Scott Hart

administrator

Leave a Reply