Foxconn founder says Apple business means China can't risk threatening him

AppleInsider

Billionaire Foxconn founder Terry Gou is running for president of Taiwan, and says he "will not bow to China's threats," as any political pressure would disrupt sales to Apple, Tesla, and others.

Foxconn founder Terry Gou

Gou previously announced a run for Taiwanese president in 2019, and as part of that said that he would stepped down from running Foxconn.

According to Bloomberg, has now again announced his intention to run for the presidency and, speaking at the launch of his campaign in Taipei, denied China could put any pressure on him.

"I will not bow to China's threats," he said, adding that he doesn't take instructions from the government, and that he has "personal" assets in the country. He further said that were China to apply political pressure, it would hurt the country's manufacturing, and also major global pension funds.

"No foreign investor will dare to invest [in China]," he said, if supply chains for the likes of Apple, Tesla, Amazon, and Nvidia, were disrupted. He added that China's economy is currently in a "terrible" condition.

In a statement issued after Gou's remarks, Foxconn said that he "no longer participates in the daily management of the company."

The Taiwan presidential elections are scheduled for January 2024. Gou is currently one of four people campaigning for the post.

Prior to stepping down, Gou said in 2019 that he wanted Apple to move production from China and into Taiwan. "I am urging Apple to move to Taiwan," he said, because of the situation at the time regarding US tariffs on Chinese-made goods.

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williamh

I am not sure why Gou thinks that a communist dictator would feel constrained either by the interests of foreign companies and global pension funds or even the interests of their own domestic economy when it comes to achieving their major strategic goals.   All I can say to him is that I hope he is right.

charlesn

And we know he's right because this kind of thinking worked out so well for Hong Kong! SMH. He should also consider that one of the main reasons that China's economy isn't doing well is because the government is flexing its power to assert greater control. The Party knows best! This has, for some time now, led to "ABC" thinking when companies are considering where to locate new factories: Anywhere But China. But The Party is perfectly willing to kill off the goose with golden eggs if doing so strengthens its grip on power. Of course, even for dictatorships, there's a link between the economy and staying in power--you can't have the masses get TOO unhappy--but the CCP will always choose to err on the side of power. 

edited August 2023

mikethemartian

I would rather have the backing of the U.S. military.

paraeeker

I believe that Gou is right on point here. China would not want to shoot itself in the foot. 

Chinese economic progress in the last 3 decades owes in large part to Taiwanese businesspeople who have made large investments in China in manufacturing  from tech to toys to clothing to bicycles and everything in between. 

Soft diplomacy/power has been their play for decades and I think it will continue. Ditto for the Taiwanese. 

waveparticle

charlesn said:

And we know he's right because this kind of thinking worked out so well for Hong Kong! SMH. He should also consider that one of the main reasons that China's economy isn't doing well is because the government is flexing its power to assert greater control. The Party knows best! This has, for some time now, led to "ABC" thinking when companies are considering where to locate new factories: Anywhere But China. But The Party is perfectly willing to kill off the goose with golden eggs if doing so strengthens its grip on power. Of course, even for dictatorships, there's a link between the economy and staying in power--you can't have the masses get TOO unhappy--but the CCP will always choose to err on the side of power. 

Wrong! The truth of the facts is Hong Kong got into trouble because some people are adamantly against China, not because of your various distorted hatreds. 

danox

China is playing the long game in respect to Russia and the United States, when both are doing a good job of shooting themselves in the foot in different ways.

“Never interrupt your enemy when he is making a mistake." Napoleon

"The opportunity of defeating the enemy is provided by the enemy himself."  Sun Tzu

Both apply since 1972 When Nixon and Kissinger approached, China.

https://www.latimes.com/opinion/story/2022-02-21/richard-nixon-henry-kissinger-trip-to-china-50th-anniversary-taiwan-vietnam-war

alexeyv

So, no one interrupted him on Borodino battlefield.

danox said:

“Never interrupt your enemy when he is making a mistake." Napoleon

blastdoor

danox said:

China is playing the long game in respect to Russia and the United States, when both are doing a good job of shooting themselves in the foot in different ways.

“Never interrupt your enemy when he is making a mistake." Napoleon

"The opportunity of defeating the enemy is provided by the enemy himself."  Sun Tzu

Both apply since 1972 When Nixon and Kissinger approached, China.

https://www.latimes.com/opinion/story/2022-02-21/richard-nixon-henry-kissinger-trip-to-china-50th-anniversary-taiwan-vietnam-war

I think you’re overestimating Chinese leadership and underestimating the US. 

I’m not saying Chinese leadership isn’t playing a long game — just that they have been making a lot of bad moves in the last ten years or so. If they could get rid of Xi they could recover, but they can’t, so they’re stuck. Or maybe it’s deeper than Xi — maybe they’ve been playing the long game, but with the wrong objectives. Maybe they dreamed of restoring an empire, but now it turns out that was the wrong goal. That’s what happened to Putin, for sure.

There are multiple people playing the long game in the US, only they have very different objectives. The anti-abortion folks have been playing a very long game to overturn Roe and they “won.” But I think they might be realizing (or will soon) that they had the wrong goal. People working to fight climate change have been playing a long game and they appear to be making great progress towards the right goals.

To really win at the long game, you need patience, flexibility, creativity, and — most importantly— the right goal. 

blastdoor

williamh said:

I am not sure why Gou thinks that a communist dictator would feel constrained either by the interests of foreign companies and global pension funds or even the interests of their own domestic economy when it comes to achieving their major strategic goals.   All I can say to him is that I hope he is right.

Indeed. Gou certainly knows China much better than I do, but there are a lot of examples of rich guys without an army overestimating their power relative to less rich guys with an army (and secret police). 

beowulfschmidt

He's either delusional, or speaking for the benefit of investors.

blastdoor

waveparticle said:

charlesn said:

And we know he's right because this kind of thinking worked out so well for Hong Kong! SMH. He should also consider that one of the main reasons that China's economy isn't doing well is because the government is flexing its power to assert greater control. The Party knows best! This has, for some time now, led to "ABC" thinking when companies are considering where to locate new factories: Anywhere But China. But The Party is perfectly willing to kill off the goose with golden eggs if doing so strengthens its grip on power. Of course, even for dictatorships, there's a link between the economy and staying in power--you can't have the masses get TOO unhappy--but the CCP will always choose to err on the side of power. 

Wrong! The truth of the facts is Hong Kong got into trouble because some people are adamantly against China, not because of your various distorted hatreds. 

Strange that the aside about HK was the only thing that drew a reply. Surely there must be other points that the CCP would like to dispute?

blastdoor

charlesn said:

And we know he's right because this kind of thinking worked out so well for Hong Kong! SMH. He should also consider that one of the main reasons that China's economy isn't doing well is because the government is flexing its power to assert greater control. The Party knows best! This has, for some time now, led to "ABC" thinking when companies are considering where to locate new factories: Anywhere But China. But The Party is perfectly willing to kill off the goose with golden eggs if doing so strengthens its grip on power. Of course, even for dictatorships, there's a link between the economy and staying in power--you can't have the masses get TOO unhappy--but the CCP will always choose to err on the side of power. 

North Korean leadership has remained in power with an economy vastly worse than china’s is now or is likely to become. Maybe it will turn out that the Chinese are less tolerant of misery, but there are many examples throughout history of people enduring great suffering without rebellion. I suspect that’s what Xi is counting on, and so will be willing to inflict a great deal of suffering on his people in pursuit of his ambitions. 

darkvader

williamh said:

I am not sure why Gou thinks that a communist dictator would feel constrained either by the interests of foreign companies and global pension funds or even the interests of their own domestic economy when it comes to achieving their major strategic goals.   All I can say to him is that I hope he is right.

China isn't communist, it's fascist.