Foxconn, the world number one in electronic subcontracting, is the target of investigations in four Chinese provinces. This information comes two months after the announcement by Terry Gou, the founder and main shareholder of the Taiwanese giant, of his candidacy for the Taiwanese presidential election, in January 2024, as an independent. The coordinated investigations between several provinces and several ministries suggest a decision from the top, which looks like a way of putting pressure on the political inclinations of Terry Gou.
This information was made public on Sunday October 22 through Global Times, a nationalist daily newspaper owned by the Chinese Communist Party. Beijing considers Taiwan a rebel province destined to be “reunited” with People’s China, “by force if necessary”. The Taiwanese giant, which assembles Apple’s iPhones and MacBooks, fell by 10% on the Shanghai Stock Exchange on Monday.
At the head of one of Taiwan’s largest companies, Terry Gou, 73, is a presidential candidate for the second time. Ideologically, he is close to the Kuomintang (KMT), the main opposition party, favorable to closer collaboration with China. But his independent candidacy risks dividing his camp and therefore harming the KMT against the ruling party, the Democratic Progressive Party (DPP), which is united behind the candidacy of Lai Ching-te, current vice-president. Just like his party, that of current President Tsai Ing-wen, the candidate fiercely supports Taiwanese sovereignty.
This is what seems to worry China. “His running for office risks further dividing the opposition camp on the island, ultimately favoring the ruling DPP’s secessionist candidate, Lai Ching-te.”Write the Global times. Terry Gou is currently credited with 7% of voting intentions, behind the three other declared candidates, according to a study by the Formosa polling institute published in mid-October.
“I will not give in to threats”
Foxconn is the subject of tax audits in two provinces and investigations into how the company uses its subsidiaries’ land in two others. The company said in a statement that it “was actively collaborating with the authorities in the investigation.” For the moment, Terry Gou has not reacted and has canceled a public meeting on Monday. But he addressed the issue when announcing his candidacy on August 28, aware of the risks run by his company in China, where most of Foxconn’s factories are located. “I will not submit to threats from China, said the billionaire. If the Chinese Communist Party told me, “If you don’t listen, we’re going to confiscate your Foxconn assets,” I would say, “Okay, go ahead.” I cannot obey their orders, I will not give in to threats. »
You have 48.44% of this article left to read. The rest is reserved for subscribers.