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Foxconn, Pegatron among Asian firms considering Mexico factories as China risks grow
- Taiwan-based electronics manufacturers Foxconn and Pegatron are among companies said to be eyeing new factories in Mexico
- The plans could usher in billions of dollars in badly needed fresh investments over the next few years for Latin America’s second-largest economy
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Taiwan-based electronics manufacturers Foxconn and Pegatron are among companies eyeing new factories in Mexico, people with direct knowledge of the matter said, as the US-China trade war and coronavirus pandemic prompt firms to re-examine global supply chains.
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The plans could usher in billions of dollars in badly needed fresh investments over the next few years for Latin America’s second-largest economy, which is primed for its worst recession since the 1930s Great Depression.
Foxconn and Pegatron are known as contractors for several phone manufacturers including Apple. It was not immediately clear which companies they would work with in Mexico.
According to two of the sources, Foxconn has plans to use the factory to make Apple iPhones. However, one of the sources said, there had been no sign of Apple’s direct involvement in the plan yet.
Foxconn is likely to make a final decision on a new factory later this year, and work will commence after that, the two people said, adding there was no certainty the company would stick to the plan.
Apple spokesman Josh Rosenstock declined to comment.
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