Malcolm Fisker Strikes Deal with Foxconn to make EVs in US Beginning in 2023

#EV #Fisker #Foxconn

$FSR

Boosted by the runaway success of Tesla, the world’s automakers, as well as a new crop of EV startups, are developing their own EVs to take a slice of the growing EV segment. The latest Tesla challenger is Fisker Inc. and the company has secured a deal with 1 of the world’s biggest automotive parts suppliers and vehicle manufacturing partners.

Electric car maker Fisker Inc (NYSE:FSR) has finalized its vehicle-assembly deal with Foxconn Technology Co Ltd (2354.TW), including plans to open a US plant in Y 2023, the companies said on Thursday.

The plant’s location has not been identified, but Fisker CEO Henrik Fisker said 4 states are under consideration, including Foxconn’s plant site in Wisconsin. Foxconn Chairman Liu Young-way previously said electric vehicles (EVs) have a “promising future” in Wisconsin, he did not elaborate.

The annual capacity for the US plant will be at least 150,000 vehicles to start, CEO Fisker said.

When you look back at recent history and new technology products, they have been launched in the US first,” Mr. Fisker said in an interview. “That’s why we want to launch here.” He expects the US market initially to be the biggest for the vehicle.

Fisker also cited access to Foxconn’s supply chain, including semiconductor chips, as an advantage of the partnership.

Fisker went public through a reverse merger with a special-purpose acquisition company (SPAC) at a time when Mr. Biden has called for $174-B in new spending to boost EVs and charging.

Under the Fisker deal, the companies will jointly invest in “Project PEAR” (Personal Electric Automotive Revolution) and share in any profit.

The companies reaffirmed Foxconn will eventually build more than 250,000 vehicles a year for Fisker across multiple sites, with initial production beginning at its US plant in late Y 2023 which it announced in February. 

We have world-class supply chains in place to support Project PEAR – in particular, securing the reliable delivery of chipsets and semiconductors,” the company said in a statement.

Terms of the deal, which runs 7 yrs, were not disclosed.

Have a healthy day, Keep the Faith!

#EV#Fisker#Foxconn