2021/04/20 12:58 Conceptual image of Foxconn s manufacuturing plant in Wisconsin (Foxconn image) Conceptual image of Foxconn s manufacuturing plant in Wisconsin (Foxconn image) TAIPEI (Taiwan News) Foxconn Technology Group, the world s largest contract electronics maker, has agreed to scale back its manufacturing project in the U.S. state of Wisconsin and take fewer state tax credits than originally agreed upon. Along with Wisconsin Governor Tony Evers, the company announced Monday (April 19) that it has reached a new deal with state officials on its future manufacturing plant near the city of Racine. Although details have not yet been released, the deal is scheduled to be approved on Tuesday (April 20) by the Wisconsin Economic Development Corp.
Foxconn to receive $80 million, not $3 billion, under new deal with Wisconsin journaltimes.com - get the latest breaking news, showbiz & celebrity photos, sport news & rumours, viral videos and top stories from journaltimes.com Daily Mail and Mail on Sunday newspapers.
MITCHELL SCHMIDT
Lee Newspapers
MADISON â Foxconn Technology Group would receive $2.77 billion fewer in state tax dollars and only aims to employ about 11% as many people in Wisconsin compared to its original goal, according to a new agreement between the state and the Taiwan-based company for its downsized manufacturing facility in Mount Pleasant.
The new contract, which was passed by the Wisconsin Economic Development Corp.âs board of directors on Tuesday, would provide Foxconn with $80 million in performance-based incentives as long as the company hires 1,454 employees across Wisconsin (not solely in Racine County) with an average wage of $53,875 and makes a capital investment of at least $672 million by 2026. It also represents a significant decrease from the $2.85 billion in state tax credits originally pledged to the company in its 2018 contract with the state.
A new agreement between Foxconn Technology Group and the state announced Tuesday dramatically scales back the number of jobs the company promises to create to only 1,454 and reduces the capital investment to a fraction of what was originally promised.
In return, Foxconn stands to receive far less state cash.
The agreement allows for Foxconn to get a maximum of $80 million in tax credits compared to the previous agreement which would have granted the company $2.85 billion in state money if the company met certain hiring and capital investments.
Foxconn four years ago promised to bring 13,000 high-tech jobs to Wisconsin and create a massive Racine County facility that former Gov. Scott Walker and President Donald Trump, both Republicans, heralded as transformational for the state s economy.