Apple supplier Foxconn under tax and land use investigations in China: report

Taiwan’s Foxconn Technology Group, the world’s largest electronics contract manufacturer, is under tax and land use investigations at several of its sites in mainland China, state media reported on Sunday.

Chinese authorities are inspecting Foxconn’s facilities in southern Guangdong province and Jiangsu in the east, as well as carrying out on-site investigations into the company’s land use in central Hunan and Hubei provinces, China’s state-run Global Times reported.

The newspaper did not specify what authorities are looking into, nor any offences that Foxconn may have committed.

“Compliance with the law is a basic principle for our group worldwide,” Foxconn said in a statement on Sunday.

Employees of Foxconn Technology Group seen during their lunch break at the company’s manufacturing complex in Zhengzhou, capital of central Henan province, where the world’s largest iPhone assembly facility is located, on January 6, 2023. Photo: Bloomberg

“We will actively cooperate with the relevant (authorities) for the operations concerned,” the company added, without providing further details.

Foxconn, formally known as Hon Hai Precision Industry, is the primary supplier for Apple’s iPhones. It is also mainland China’s largest private-sector employer, with more than a million employees nationwide.
The investigation comes two-and-a-half months before presidential elections in self-ruled Taiwan, which China claims as its territory and has vowed to take one day.

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The 72-year-old failed to become the opposition Kuomintang party’s nominee in 2019 and analysts expect him to only have a slim chance of winning.

Critics have alleged that Gou has a cosy relationship with the mainland Chinese leadership, although Gou has said he can bring peace between Taipei and Beijing.

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