Apple iPhone supplier Foxconn announced leadership changes bringing more executives for running its daily operations, Reuters reported.
The development follows the decision of Foxconn chairman Terry Gou, 68-year-old, to run in Taiwan’s 2020 presidential election.
Foxconn revealed a new operations committee which will include nine executives from the group’s subsidiaries with more control.
The world’s largest contract manufacturer earlier announced Terry Gou’s plans to step down from Foxconn to pave the way for younger talent to move up the ranks.
The nine-person committee includes most members from Foxconn’s proposed new board, including Foxconn Chief Financial Officer Huang Chiu-lien and Foxconn Interconnect Technology Chairman Lu Sung-Ching.
The committee did not include Gou or the chairman of Foxconn’s Japanese electronics unit Sharp, Tai Jeng-wu, who are both members of the new proposed board.
Foxconn on Tuesday told investors it was well positioned to tackle challenges from ongoing the U.S.-China trade war.
The company said 25 percent of its production capacity is outside of China. The iPhone maker said it has enough capacity to meet Apple’s demand in the U.S. market.
“Our production capacity outside China is enough to meet demand from the U.S.,” said a member of Foxconn’s proposed new board, Liu Young-way, also known as Young Liu.
Liu Young-way said that Foxconn could adjust its production lines accordingly if Apple needs any changes.
Young Liu also sought to address investors’ concerns on what the overhaul might mean for plans initially laid out by Gou, including a $10 billion investment to create 13,000 jobs in the U.S. state of Wisconsin.
Young Liu said the Wisconsin investment was more important than before, given the trade war.
Reuters reported on Wednesday that Foxconn has moved more than 150 U.S. jobs to Mexico.
Foxconn said it will utilize its global distribution as well as localized production to tackle growing uncertainty amid the escalating U.S.-China trade war.
Foxconn’s Young Liu also vowed to boost its manufacturing capability with technologies including 5G telecoms infrastructure, artificial intelligence as well as high-definition 8K technology.
Liu said the Wisconsin investment, which is expected to reach $1.4-1.5 billion with up to 2,000 employees by end of 2020, was on schedule. He added the project, which includes manufacturing of displays and servers, was poised to go into production by end of next year.