DIGITIMES Research has observed that Foxconn's efforts toward electric vehicle (EV) manufacturing have been generating solid results. From an external perspective, the EV industry ecosystem can develop toward a flattening supply chain as EVs do not require technologies to develop complex engines.
Moreover, EV body structures are growingly designed and manufactured by way of platforms and modules so the OEM model for mobile phones can be applied to EV manufacturing. From an internal perspective, Foxconn possesses four fundamental abilities to make EVs, including overseas production implementation, supply chain management, large-scale production and system-level solutions.
Comparing EVs to traditional gasoline cars from the perspectives of the automotive ecosystem and body structures, EVs give rise to increasing outsourcing opportunities as they do not need complex engines and this enables a more open supply chain. Furthermore, with simpler body structures, EV manufacturing has a lower technological barrier.
Table 1: Differences between EV and conventional auto supply chains
Chart 1: Foxconn EV capacity planning by region, 2024 (k units)
Table 6: Outsourcing strategies of traditional automakers and EV startups