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HomeCommon ProblemApple suppliers envision long-term Apple car supply chain

Apple suppliers envision long-term Apple car supply chain

May 12, 2023 pm 01:04 PM
applecarelectric carnew energy vehiclesAutomotive industry

Apple suppliers are preparing to manufacture and assemble the company’s long-rumored electric vehicle (EV).

Apple 供应商构想长期 Apple 汽车供应链

The report claims that Foxconn, a large manufacturer behind most iPhone models, and Luxshare Precision, an assembler of Apple devices such as AirPods, are working on producing Apple's car. Foxconn has entered electric vehicle manufacturing and last year launched a chassis and software platform to help automakers bring models to market faster. Luxshare Precision, meanwhile, is partnering with Chinese automaker Chery to produce electric vehicles.

While Apple is unlikely to partner with Foxconn and Luxshare Precision right away, these suppliers will play a key role in Apple's future car plans. South Korea's Hyundai and Canada's Magna International are said to be best suited to partner with Apple and can offer better manufacturing expertise and infrastructure than Foxconn or Luxshare Precision. Hyundai and Magna have been at the center of Apple car rumors, with Hyundai even publicly confirming discussions with Apple.

Over time, Foxconn can leverage its existing relationship with Apple, newly developed electric vehicle platforms, electronic component manufacturing capabilities and experience working with automakers such as Stellantis and Fisker to gradually build Its position in Apple's automotive supply chain.

It is expected that the cars Apple will need to produce for the Chinese market will be almost entirely in China. For example, an Apple car for the U.S. market is likely to have batteries supplied by South Korea's LG, SK On, or Samsung, while an Apple car for the Chinese market is likely to be supplied by China's CATL and BYD. Luxshare Precision is said to be closely aligned with Apple's electric vehicle manufacturing needs in the Chinese market and is reportedly preparing for the car's debut in China.

The source also said that it is too early to assume that Apple has completed the design of its electric car and conducted road tests. Apple aims to start production of its car in 2024, but Apple analyst Ming-Chi Kuo believes it will be 2025 to 2027 at the earliest before the car is ready for release.

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