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2025-03-30 Update From: SLTechnology News&Howtos shulou NAV: SLTechnology News&Howtos > IT Information >
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Shulou(Shulou.com)11/24 Report--
CTOnews.com, June 12, according to the Wall Street Journal, Lordstown Motors, a US commercial electric light truck manufacturer invested by Hon Hai, recently said it plans to take legal action against Hon Hai.
▲ image source: Lordstown
According to the report, Hon Hai signed a contract with Lordstown last year, and Lordstown became Hon Hai's first commercial vehicle purchasing service customer. In addition, Hon Hai and its subsidiary Foxconn Ventures Pte. Ltd has invested a total of US $277.7 million in Lordstown (CTOnews.com Note: currently about RMB 1.98 billion) to assist it in mass production of Endurance electric pickup trucks.
▲ Touyuan: LordstownLordstown's first batch of 500 electric pickups was delivered in November last year, but the company's share price remained depressed because of a recall and suspension of production in February due to parts quality problems.
As a result, Hon Hai argued that Lordstown violated the minimum terms of the transaction and said it would suspend its investment in Lordstown if the default could not be resolved within 30 days. Lordstown said Hon Hai's suspension of investment could cause the company to stop operations and seek bankruptcy protection.
▲ Touyuan: LordstownLordstown criticized Hon Hai's violation allegations as "groundless", claiming that under no circumstances could Hon Hai exercise the right of suspension and that Hon Hai did not make the necessary efforts to reach a consensus. Lordstown said in a statement that it plans to take legal action against Hon Hai to urge Hon Hai to continue to fulfill its investment in the company.
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