Asia’s EV Triangle: What the Nissan–Foxconn Deal in Japan Means for India’s EV Future

Nissan–Foxconn tie-up is a regional recalibration of EV manufacturing. India stands to benefit greatly if it seizes this moment.

July 08, 2025

In a move poised to redefine the electric vehicle (EV) manufacturing landscape in Asia, Japanese auto giant Nissan Motor and Taiwan’s Foxconn are in advanced talks to jointly operate Nissan’s Oppama plant in Yokosuka, Japan. The proposed collaboration is more than a regional manufacturing agreement—it holds strategic significance for India, signaling new openings in EV supply chains, technology partnerships, and cross-border investment flows.

Nissan and Foxconn electric vehicle collaboration depicted in a futuristic factory with diverse team of workers and advanced EV production technology.

As Nissan contemplates repurposing some of its Japanese facilities, including the historically significant Oppama plant, the possibility of Foxconn stepping in as a co-producer or even partner of the plant breathes new life into the region’s auto ecosystem. For India, this represents a unique opportunity to integrate more deeply into a pan-Asian EV supply chain.

The Foxconn–Nissan Collaboration: An Overview

Foxconn—also known as Hon Hai Precision Industry, and globally renowned for manufacturing iPhones—is rapidly expanding into the EV domain. It has declared ambitious plans to build its own EV platforms and supply chains across Asia.

The Oppama plant, with a workforce of nearly 4,000 and a 2024 utilization rate of just 40%, was at risk of closure. However, Foxconn’s interest could lead to:

• Joint production of compact EVs (like the Nissan Leaf).

• Revitalization of Nissan’s supplier ecosystem in Kanagawa, home to over 350 Tier 1 parts manufacturers.

• Strategic investment into battery and software R&D, much like Foxconn’s Kaohsiung EV hub in Taiwan.

  
  

India’s Opportunity in the Asia EV Triangle

While the headlines are centered on Japan and Taiwan, India is the third essential point in this emerging “EV Triangle.” Here's why the deal matters to India:

* India as a Strategic Manufacturing Partner

Foxconn already operates major electronics manufacturing facilities in India (Tamil Nadu, Andhra Pradesh), and has expressed intentions to enter the Indian EV market. The Nissan-Foxconn partnership could lead to:

• Localization of EV components in India for the Japanese and ASEAN markets.

• Standardized platforms that can be assembled in Japan but sourced from India.

• Expanded EV-related exports under India’s Production-Linked Incentive (PLI) scheme.

  
  

* Boost for India’s Auto Components Ecosystem

Indian MSMEs and Tier 2/3 suppliers in auto hubs like Chennai, Pune, Manesar, and Sanand could tap into this collaboration by:

• Offering low-cost, high-quality parts for Foxconn’s global production lines.

• Becoming preferred vendors in a diversified supply chain stretched across Japan, Taiwan, and India.

• Gaining exposure to global standards in battery tech, embedded systems, and lightweight materials.

  
  

* Technology Transfer and Skill Development

If India becomes a supplier or satellite manufacturing base in the Foxconn–Nissan model, it could:

• Accelerate EV-related skilling initiatives.

• Lead to R&D collaboration between Indian institutes (IITs, NATRiP centers) and Foxconn.

• Open avenues for software and AI-enabled mobility systems, especially given India’s global strength in IT services.

  
  

Policy Convergence and Geostrategic Alignment

This development aligns well with India’s broader goals:

• Make in India: Localized EV manufacturing is a core pillar of India’s clean mobility ambitions.

• Act East Policy: Deepening economic ties with Japan and Taiwan strengthens India's strategic positioning in the Indo-Pacific.

• India–Japan Industrial Partnership: The two nations already collaborate on smart city and infrastructure projects—EVs are the next logical frontier.

  
  

This deal could be looked as a blueprint for future trilateral partnerships, with India supplying, Japan designing, and Taiwan assembling.

What’s Next: India’s Role in Global EV Value Chains

As India eyes its $5 trillion economy goal and aims to become a global manufacturing powerhouse, the Foxconn–Nissan collaboration is a timely case study in leveraging international partnerships for domestic gains.

Policymakers, auto industry stakeholders, and investment promotion agencies in India should:

• Position India as a backbone of cost-effective EV manufacturing.

• Encourage Foxconn to expand its EV production capacity in India as a complement to Japan.

• Explore the formation of India–Japan–Taiwan EV task forces, focused on IP sharing, platform standardization, and battery tech innovation.

  
  

A Moment of Strategic Clarity for India

The Nissan–Foxconn tie-up is not just a revival story—it is a regional recalibration of EV manufacturing. India stands to benefit greatly if it seizes this moment.

From component exports and platform design to battery production and skilled labor, India can be more than a participant—it can be a pillar of the new electric mobility order in Asia.

The future of EVs is being shaped in Yokosuka, Kaohsiung, and Delhi NCR—and India must be at that table.