Foxconn is just getting started in the automotive industry, having recently acquired the Lordstown Automotive plant. However, the brand’s reputation in electronics manufacturing makes them an attractive option as a manufacturing partner for startups and traditional automakers. Reuters reports that Volkswagen may be in talks with Foxconn to have the foundry giant produce the upcoming Scout electric truck.

Little information is available about the talks between Volkswagen and Foxconn, which came from an “inside source” cited by AutoWeek, a German newspaper.

There is some background information that lends credibility to this story. Foxconn has already purchased a car manufacturing site (the aforementioned Lordstown, Ohio plant), and the Taiwan-based manufacturer has set an ambitious goal of capturing 5 percent of the electric car manufacturing market by 2025. Likewise, Volkswagen’s Scout brand is scheduled to be sold in the U.S. starting in 2026. So a deal between the two could help both parties achieve their goals.

Volkswagen unveiled its Scout Motors brand a few months ago, and the Scout Motors website shows that the brand is focused on the off-road segment, competing with brands like Rivian, Ford and Jeep. The Scout Motors brand will reportedly be designed, built and produced in the U.S. as Volkswagen tries to appeal to the traditionally domestic U.S.-focused pickup market.

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