Apple partner Hon Hai suspends trading pending market-moving announcement
Two days before Apple earnings, the Taiwan Stock Exchange has suspended manufacturing partner Hon Hai stock trading ahead of an expected major announcement.
A Foxconn factory sign
Hon Hai Precision, also known as Foxconn, is a major assembly partner for Apple and other well-known tech companies, and a big company in its own right. One that appears to be making a major change to its business in the coming days.
The Tawian Stock Exchange issued a press release on Tuesday advising to investors that trading in shares of Hon Hai Precision and its underlying securities will be halted from July 30. The pause in trading is being made "pending the release of material information," the exchange explains.
After that release, Hon Hai can apply to the exchange to resume trading.
Potential major changes
It is unusual for a stock to be pulled from the exchange, but there are usually good reasons for it happening. For example if a company is about to announce some news that will cause a major shift in market trading, such as an investment or merger.
There is no hint from the TWSE nor Hon Hai about what it could be. With Hon Hai also involved in many different areas, ranging from iPhone assembly to electric cars, it's also something that could be equally connected to Apple or completely separate.
On the Apple side of things, the timing is somewhat apt, as Apple is set to release its third-quarter financial results on July 31, one day after Hon Hai's announcement.
However, there has not been any hint of any dealing between Apple and Hon Hai that would be big enough to force share trading suspension.
Within the Apple supply chain, Hon Hai has been investing in its India venturein 2025, growing its manufacturing footprint considerably. This has included a $1.5 billion investment into its India arm, as it aims to double production of iPhones in the region.
However, Hon Hai expressed in February that it would consider taking a stake in struggling car maker Nissan. By July, there were reports that Nissan considered allowing Foxconn to use one of its factories in Japan for electric vehicle production, to avoid closing the facility.
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