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Foxconn’s New Manufacturing Plant in Wisconsin
Article

Foxconn’s New Manufacturing Plant in Wisconsin

A Huge Gamble on Uncertainty

TMTPost, 2017

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Editorial Rating

6

Qualities

  • Analytical
  • Background
  • Concrete Examples

Recommendation

US president Donald Trump’s promise to bring manufacturing jobs back to the United States was a cornerstone of his election campaign. Since his inauguration, several electronics companies, including Samsung, LG and Foxconn, have announced to build factories in America. The planned projects are good for PR, but do they make sense from a business perspective? Writing for China’s leading business and technology platform TMTPost, Wang Xinxi uses the example of Foxconn’s $10-billion electronics manufacturing project in Wisconsin to consider possible motivations and weigh the risks and prospects for the large-scale foreign investment. getAbstract believes that investors and manufacturing executives will find his assessment quite thought-provoking. 

Take-Aways

  • Foxconn has pledged to invest $10 billion to set up a facility for building LCD panels in Wisconsin, making it the “biggest foreign investment” in American history.
  • The decision is partly a response to the Trump administration’s leveraging of political pressure and financial incentives to have companies move their plants to America.
  • Moving the facility to the United States will also allow Foxconn to enhance its international profile, grow its innovation potential and save costs.

About the Author

Wang Xinxi writes for TMTPost, China’s leading business and technology platform. Focused on tech trends and startups, Wang runs his own wemedia channel and contributes to Baidu, Tencent, Toutiao, and tech media Huxiu.com.