Hon Hai’s NT$6 billion LFT Battery Factory to Have 1GW Capacity by 2024

Hon Hai Precision Industry Co. (2317-TW) held a groundbreaking ceremony on Wednesday (June 15) for its Kaohsiung Battery Cell R&D and Pilot Production Center which will allocate NT$6 billion on trial production of lithium iron phosphate (LFP) battery cells.

According to Hon Hai Chairman Young Liu, the production capacity is expected to reach 1 GW in the first quarter of 2024, supplying electric buses, commercial vehicles and energy storage cells for domestic production.

Speaking at the opening ceremony, Liu said that the LFP cells will be the main focus of the R&D center in the industrial park. Solid-state batteries will also be developed for trial production in 2024.

Liu added that the investment in the R&D center is just the starting point of this process. Hon Hai plans to cooperate with domestic battery material manufacturers to actively develop a local supply chain.

Hon Hai will later build a self-driving car network test site in the Chiaotou Science Park, Liu said. The company will further combine local companies specialized in metal materials and precision processing and other related industries to promote the Kaohsiung electric vehicle industry chain.

Hon Hai is also accelerating the planning of complete solutions for smart cities.

With Kaohsiung as a demonstration site, Hon Hai plans to will actively invest in the smart transportation industry and application services by combining our strengths in electric buses, vehicle interconnection product development and manufacturing, and big data analysis applications.

The company look forward to leading Taiwan’s intelligent transportation industry ecosystem to the international market from the Kaohsiung pilot site, he concluded.