Foxconn has agreed to acquire a 50 percent stake in Mitsubishi Electric's automotive parts unit for 115 billion yen, or roughly $727 million. Operating through its Lin Yin International Investment arm, the Taiwanese manufacturer will run the business as an equal joint venture. The transaction values the unit at 320 billion yen in enterprise value and is scheduled to close on October 1, 2027, subject to antitrust clearance. [1][2]
Before the deal closes, Mitsubishi Electric will fold the remainder of its worldwide automotive operations into Mitsubishi Electric Mobility. The resulting venture will unite Foxconn's production scale with Mitsubishi's vehicle software, autonomous driving, electronic control, and powertrain technologies. Together, they intend to develop electric vehicle platforms in Japan to market first to domestic carmakers before expanding worldwide under a "Made in/by Japan" banner. [1][2]
The transaction serves as an anchor for Foxconn's long-running automotive ambitions after earlier efforts to secure a 10 percent global electric vehicle market share stalled. However, the partners face immediate commercial hurdles. Mitsubishi Electric Mobility generated 875.6 billion yen in revenue last fiscal year from legacy products like alternators and starter motors, but sales have fallen alongside Japanese auto market share in China, setting up a modest target of 1 trillion yen by 2030. [2]
