Foxconn, also known as Hon Hai Precision Industry Co, Ltd (OTC: HNHPF), has finished making the first batch of display screens in Vietnam, something it had not done at its factory in Wisconsin as of last month.
What Happened: The Apple Inc (NASDAQ: AAPL) supplier churned out the screens from its $26 million manufacturing facility located in Vietnam’s Quang Ninh province, Reuters reported Wednesday (Hanoi Time).
Most of the screens made at the factory will be exported, according to a statement issued by Vietnam’s government.
“Foxconn is preparing to expand the project and form a production complex,” according to the statement, which said the move would make it the largest exporter in the province, Reuters noted.
Why It Matters: The Vietnamese government said that the Taiwanese manufacturer is set to expand the factory and produce up to one million display screens and televisions, which will generate $250 million in revenue next year, which will rise to $1 billion in later years.
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Meanwhile, Foxconn failed to secure state tax credits for 2019 in Wisconsin after failing to meet job creation targets for two years in a row as of October.
The state’s economic development agency said in a letter to Foxconn Vice Chairman Jay Lee that the manufacturer is not anywhere near manufacturing large-screen televisions in the state as it had promised.
Foxconn’s Wisconsin campus was hailed as an example of foreign investment by outgoing President Donald Trump’s administration.
Price Action: Hon Hai OTC shares closed 0.7% higher at $5.79 on Tuesday.