Foxconn CEO Predicts Surge in US Tech Manufacturing Amid Tariff Challenges

Foxconn CEO Predicts Surge in US Manufacturing

Mike Wuerthele | Mar 14, 2025

Foxconn's CEO, Young Liu, has spoken out about the impact of tariffs on US manufacturing during an earnings call. He noted that while the issue of tariffs is causing significant headaches for tech companies, it could potentially lead to an expansion of US manufacturing by big tech firms in the coming years.

Liu cautioned that tariff costs will ultimately be passed onto consumers, which may affect demand and present challenges for manufacturers. Despite these uncertainties, Foxconn expects stable revenues from Apple for at least a year. Liu also mentioned that multiple customers are exploring plans to collaborate with Foxconn on US manufacturing projects, though details remain sparse.

Foxconn's existing manufacturing facility in Wisconsin, established under the first Trump administration, has faced significant issues, remaining largely idle and failing to meet initial job creation goals. The company has since signed a new contract with more favorable terms but continues to face uncertainties.

In addition to the Wisconsin plant, Foxconn is building a new facility in Mexico to produce server components for Google and Nvidia Blackwell servers. Overall, Foxconn reported a 13% year-over-year drop in net profit for the quarter, primarily due to a decrease in non-operating income.