According to Chinese state media reports, Foxconn, the primary supplier of Apple iPhones based in Taiwan, is currently undergoing tax audits at some of its significant subsidiaries in China. The audits are suspected of uncovering potential violations of laws and regulations.
Additionally, China’s natural resources department has carried out on-site inquiries into the land usage of Foxconn establishments located in Henan and Hubei provinces, among other areas. The reports, however, do not provide further details regarding the nature of these investigations or their timing.
In a statement, Hon Hai Technology Group (Foxconn) emphasized its core commitment to legal compliance in all its global operations but refrained from directly commenting on the allegations. The company pledged its active cooperation with the pertinent authorities in the respective investigations and activities.
Zhang Wensheng, the deputy dean of the Taiwan Research Institute at Xiamen University, explained to the Global Times that the tax audit and land use investigations represent a routine procedure applied to any enterprise suspected of breaching laws and regulations.
Zhang stated that Foxconn’s affiliated companies must willingly collaborate with audits and inquiries. If any violations of laws and regulations are confirmed, they should acknowledge the errors, be receptive to penalties, and intensify efforts to make corrections.
Reported by Ethan Wang and Bernard Orr; Edited by Lincoln Feast and William Mallard.