The latest investment builds on a series of similar moves by Foxconn in Mexico since 2024.
Taiwanese manufacturing giant Hon Hai Precision Industry Co. (Foxconn) has invested an additional US$136 million in Mexico through its Singapore-based subsidiary, signalling a strategic push to expand its artificial intelligence (AI) server production footprint in North America.
Foxconn also invested US$12.72 million to acquire a stake in Ingrasys Technology Mexico, a subsidiary of its cloud unit, Ingrasys Technology Inc.
While Foxconn did not specify the exact purpose of these investments, stating only that they are part of its long-term strategy, industry sources indicate the capital infusion is aimed at strengthening production capacity in Mexico to meet rising demand for AI servers from North American clients.
The latest investment builds on a series of similar moves by Foxconn in Mexico since 2024. Notably, the company injected US$168 million into FII AMC Mexico in August 2025 and earlier acquired land worth approximately NT$827 million (US$25.84 million) in February 2024 to support its expansion plans.
Speaking at an investor conference on March 16, Chairman Young Liu highlighted strong growth expectations for the company’s AI server business. He stated that AI server rack shipments are projected to grow at a “high double-digit” rate sequentially in the first quarter of 2026. For the full year, shipments could potentially double compared to 2025, further strengthening Foxconn’s position in the global market.
Foxconn currently holds an estimated 40 per cent share of the global AI server market, and the latest investments underscore its ambition to scale operations and capitalise on surging demand driven by AI adoption worldwide.
