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Foxconn, SK Group looking to expand business in China, India

Foxconn, SK Group looking to expand business in China, India

Taipei, Sept. 2 (CNA) Taiwan's Foxconn Technology Group (???), the world's largest contract electronics maker and a major supplier to Apple Inc., is in talks over teaming up with South Korea's SK Group to expand their business in China and India. "We can explore any kind of opportunity, not just in China. We also talked about India and also other areas, too," SK Group Chairman Chey Tae-won (???) said during a visit Wednesday to Foxconn's headquarters in New Taipei. "Today we just exchanged ideas, that's the only thing right now. So it's the first step," Chey said after spending nearly two hours at the Foxconn facility accompanied by Foxconn Chairman Terry Gou (???). Asked if he will invite Foxconn to jointly invest in new factories of SK Hynix Inc., a subsidiary of the SK Group and the world's No. 2 DRAM chip maker, Chey said he and Gou "haven't discussed yet." Gou said Foxconn's potential cooperation with the SK Group, the third-largest conglomerate in South Korea, could include medical services and software, given that the SK Group owns a wide range of businesses. Gou added that Chey's visit is aimed at further understanding Foxconn's operations in a move to seek business development in Taiwan, China and India. Foxconn, known as Hon Hai Precision Industry Co. (??) in Taiwan, formed a joint venture in March this year with SK C&C Co., a subsidiary of the SK Group, to build information technology (IT) infrastructure for its production facilities in China. The new venture, called FSK Holdings, is expected to integrate IT services with Foxconn's smart factory and automation technology, seeking opportunities to roll out IT security services in China. In June last year, Foxconn invested US$376 million to acquire a 4.9 percent stake in SK C&C, making it the South Korean firm's second-largest shareholder. Foxconn, which assembles iPhones and iPads for Apple, is looking to diversify its businesses from low-margin manufacturing. (By Jeffrey Wu)

Updated : 2021-09-18 01:22 GMT+08:00