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Science minister backs Hon Hai's U.S. investment plan
Taipei, May 8 (CNA) Science Minister Chen Liang-gee on Monday expressed support for a plan by Taiwan-based Hon Hai Precision Industry Co., the world's largest contract electronics maker, to invest in the United States.
In an interview with Yahoo TV, Chen said because Hon Hai mainly focuses on terminal assembly, it needs to be close to its customers and markets.
He said it would be beneficial if Taiwan's component-based industries set up operations around the world, because that would enable them to seize a share of local markets.
In particular, he said, Taiwanese companies should establish operations in India. Once they gain a foothold in the Indian market, Taiwan-made components can create more value elsewhere, he added.
Hon Hai released a statement on April 29 confirming it was in talks with the U.S. government for possible investments in the United States, after chairman, Terry Gou (郭台銘), was reported to have visited the White House twice over the previous two days.
Hon Hai said it is seeking investment opportunities in the U.S. market and evaluating the possibility of expanding operations there.
In late January, Gou said it was likely Hon Hai would build a flat panel plant in the U.S. He added that if customers such as Apple Inc. are willing to join forces with Hon Hai, the investment could top US$7 billion.
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