Apple supply partner Luxshare is set to spend $2 billion for new projects, including a facility that can build electric cars and wearables.
Reuters reports that the company is planning on raising the money through its investors and 13.5 billion yuan for sharing. The move is in line with Luxshare’s goal of improving production towards ‘downstream applications’ such as smart vehicles and consumer electronics. The projects include new production lines for high voltage connection systems, mobile terminal components and smart wearable devices, among others.
Luxshare is a major Apple supplier located in China, and is notably known for the production of the Apple AirPods. Recently, the China-based company is enjoying a greater share of the production pie, particularly the iPhone. Luxshare also intends to build a ‘mega plant’ to challenge companies Pegatron and Foxconn.
There have been reports in early February that Luxshare is moving towards the EV market and building internal vehicular components.