Mitsubishi Electric Considering Alliance with Hon Hai Precision Industry for Joint Operation of Automotive Equipment Business

 Mitsubishi Electric announced that it has signed a memorandum of understanding (MoU) with Hon Hai Precision Industry (Foxconn) to explore the formation of a strategic alliance to jointly operate their respective automotive equipment businesses.

Building on their existing relationship, the two companies aim to expand their collaboration to create synergies in sectors including electrification, autonomous driving, and software-defined vehicle (SDV) technologies for automotive equipment. As part of the proposed framework, Mitsubishi Electric is considering to transfer 50% of its shares in Mitsubishi Electric Mobility Corporation to Hon Hai Precision Industry toward joint operation.

Under the envisioned alliance, Mitsubishi Electric Mobility will leverage the capabilities and networks of Hon Hai Precision Industry to contribute to provide a high-quality EV platform (basic structures) from Japan, including powertrain and autonomous driving technologies. From a broader perspective, the alliance is expected to support the sustainable growth of Japan’s automobile industry and strengthen its industrial base overall. In the medium to long term, Mitsubishi Electric Mobility could potentially enhance the global value of “Made in Japan.”

Mitsubishi Electric, as a company prioritizes to earn stakeholder trust, ensure stable supply and maintain the product quality, will proceed with substantive discussions with Hon Hai Precision Industry. Going forward, the company will promptly announce any matters requiring disclosure.