Foxconn risks fine from Taipei after taking minority stake in Chinese chip champion Tsinghua Unigroup
- Foxconn’s Shanghai-listed unit invested US$788 million in Tsinghua Unigroup via its subsidiary investment fund
- However, the deal could be clouded by deteriorating cross-strait relations amid mainland China’s poaching of Taiwanese semiconductor talent

Foxconn Industry Internet (FII), the Shanghai-listed subsidiary of Hon Hai Technology Group, has acquired a minority stake in China’s state-backed chip maker Tsinghua Unigroup.
Hon Hai - also known as Foxconn, the world’s largest iPhone assembler – invested 5.38 billion yuan (US$788 million) in Tsinghua Unigroup via Guangzhou-based Xingwei Industrial Investment Partnership Fund, Taiwan-listed Hon Hai Technology said in a stock filing on Thursday.
The Xingwei investment fund was set up in March 2022 by FII and Wise Road Capital, the lead investor behind Tsinghua Unigroup’s debt restructuring process. FII controls a 99 per cent stake in Xingwei.
However, the deal could be clouded by deteriorating cross-strait relations over geopolitical tensions, supply chain bottlenecks, and mainland China’s poaching of Taiwanese semiconductor talent.
The Taiwan government is reportedly considering fining Foxconn up to T$25 million (US$835,600) for investing in Tsinghua Unigroup without first seeking regulatory approval, Reuters reported on Friday, citing a source.