Copyright FOURIN, Inc. 2022
Hon Hai – PTT Alliance: Taiwan Follows the Footsteps of China and South Korea into Thailand
On May 31, 2021, Taiwanese electronics manufacturer Hon Hai Precision Industry, trading as Foxconn Technology Group, announced a partnership with Thailand’s state-owned oil and gas company PTT in the electric vehicle (EV) field. Hon Hai, which launched an open platform for EVs, and PTT which is considered to boast the largest market capitalization as a Thai company, formed a team and began preparations for the introduction of an EV platform that can be used by Thai companies. Specifically, the EV kit that Hon Hai is developing as a “MIH (Minimalism Intrinsic Harmonic) platform” will be provided to Thai companies by utilizing PTT’s business partners and distribution network. In preparation for this, the two companies plan to establish a joint venture in the third quarter of 2021.
Hon Hai, which is famous for contract manufacturing of Apple’s iPhones, launched the concept of MIH platform in October 2020. More than 1,500 companies have announced their participation in the MIH alliance by May 2021. The company has already agreed on EV production with Geely and Byton of China, and Fisker of the United States. Hon Hai has also announced that it would jointly establish Mobile Drive, a Tier 1 manufacturer responsible for the development and production of digital cockpits, with Stellantis. Following that, the agreement with PTT was officially announced. The ever-expanding MIH alliance has also reached Thailand, a stronghold of Japanese automakers.
The core of the Hon Hai - PTT alliance is to support EV production in Thailand based on the MIH platform. All automotive industry-related players in Thailand are invited to participate as developers or suppliers of EVs. The scope of the collaboration is planned to be expanded in the future. As an example, Hon Hai provides technical support for the expansion of EV charging infrastructure that PTT is already working on.
Hon Hai’s Chairman Young Liu, who participated in the MoU signing ceremony of the alliance, said, “Through (Hon Hai’s) open platform and local industrial advantage, Thailand can become a global EV leader. The Detroit of the Orient will continue to shine in the EV field as well.” This message seems to accurately capture the aim of the Thai government, which is actively promoting vehicle electrification.