(TAIPEI) Taiwan News — Taiwan’s Foxconn and Saudi Arabia are rumored to be finalizing a joint venture to assemble electric vehicles (EV), according to anonymous sources familiar with the deal.
The two will create a new entity — Velocity — which will be majority-owned by Saudi Arabia's Public Investment Fund, according to a Bloomberg report.
Foxconn will have a minority stake and will leverage its expertise in software, electronics, and electrical architecture to help the Middle Eastern country advance its car manufacturing industry, said insiders.
Velocity aims to build EVs for German brand BMW. The final deal should be inked this month, though final changes may still be made.
The news comes after Foxconn shared its blueprint to enter EV markets around the world at an earnings call last month. Plans include joint ventures in Thailand and China, factories in Mexico, and partnerships with American firms too.