This approval was given by Taiwan's Ministry of Economic Affairs. Out of the total amount, around $1.49 billion will go to Foxconn's Singapore subsidiary. The Singapore subsidiary will use the fund to invest in Yuzhan Technology (India) Private Ltd, another Foxconn subsidiary. This investment will help build a new factory in India to produce iPhones and their components.

Experts believe this move is part of Foxconn's plan to shift some production out of China due to trade tensions with the US. India is becoming an important hub for making iPhones and their components.

Foxconn has also been approved to use USD 735 million to set up a new company in the US called Project ETA (DE) LLC. This new business will focus on making equipment for data centres and assembling servers.

As part of its global expansion, Foxconn has been increasing its presence in countries like the US, India, Mexico, Vietnam, and regions in Europe. Currently, the company has 223 factories and offices across 24 countries, including 54 in the Americas, 12 in Europe, and 12 in India.