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The mainland supply chain grabs apple orders and wants to win the electric car, why is Hon Hai not afraid?

The mainland supply chain grabs apple orders and wants to win the electric car, why is Hon Hai not afraid?

Hon Hai India iPhone orders will reach a new high this year, the local expansion, not only the personnel to double, Apple has obtained the local government permission, the release of Hon Hai India Chennai factory area of 40 acres (about 49,000 peg) of space can begin to produce iPhone, which means that Hon Hai is not afraid of luxun and other corporate challenges, is still Apple's most trusted, most reliant foundry, so orders are endless.

Industry analysis, Hon Hai as the global electronic foundry leader, has the most complete global layout, as Apple expands the production capacity of non-Chinese mainland markets, such as the Indian market, Hon Hai India factory naturally becomes the most beneficiary manufacturer, orders from Apple are also rising, not afraid of the mainland supply chain to grab the single effect.

However, the global layout alone is still not enough, Hon Hai in experience, yield, production capacity and management and other aspects, are far better than competitors, is the main key to its ability to continue to eat apples, after all, receiving orders is one thing, can make the quality and yield of the product, but also to be able to make money, this is another thing, mainland manufacturers rely on subsidies alone can only grab a single at a low price, but it is not guaranteed to be able to do it, and it is not guaranteed to make money.

The mainland supply chain grabs apple orders and wants to win the electric car, why is Hon Hai not afraid?

Liu Yangwei, chairman of Hon Hai, said before that some things seem very simple, in fact, it is very difficult, like such a huge scale, it is easy to make a product, it is easy to do one, to do 1,000 pieces is another thing, to do 1 million pieces is another degree of difficulty, our competitors are still going through these processes.

Of course, with the slowdown in the growth of the global smartphone market, Hon Hai began to actively enter the field of electric vehicles, hoping to become another engine to promote the company's performance growth, and copy the successful experience in electronic foundry to the electric vehicle industry.

Especially after the electric vehicle takes off the gasoline engine, electric drive, electronic control and battery, become the three keys to the development of electric vehicles, the degree of electrification of the entire car has been greatly improved, which provides a good opportunity for Hon Hai and other manufacturers who are good at electronic foundry to enter the automotive industry, from the recent Situation that Hon Hai has recently heard in the United States, Thailand, Taiwan, Indonesia, India and the Middle East and other regional auto markets, Hon Hai's future electric vehicle hegemony is rapidly taking shape.

Although the mainland supply chain has recently begun to enter the field of electric vehicles, for example, Luxun announced that it has entered the electric vehicle industry, but Liu Yangwei believes that the same industry wants to enter the electric vehicle, which is different from what they imagined, because entering the electric vehicle, including the scale, technology and funds are very large, not with the support of the government can enter. In addition, Hon Hai also has an innovative operation localization (BOL) model, and many countries have cooperated with Hon Hai, which is Hon Hai's advantage.

Liu Yangwei stressed that in addition to BOL, Hon Hai's software and hardware integration capabilities, upstream and downstream vertical integration capabilities, and MIH electric vehicle open platform are Hon Hai's competitive advantages, competitors do not have such a complete capability, competitors also underestimate the scale and capabilities that the electric vehicle industry needs to have.

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