The giant Foxconn manufacturing complex planned in Wisconsin is likely to continue falling short of the threshold required to begin receiving billions of dollars in state incentives, even after production begins next year.
“We understand what is going to be built and when it’s going to be finished — the first phase,” Gov. Tony Evers told CNBC, noting that his administration has now gotten “clarity” from the Taiwanese electronics manufacturer on its plans — which are much less ambitious than they were originally portrayed.one week after paying his first visit to the construction site near Racine. The site visit was undisclosed to the public until now.
“They’re going to be making smaller items, probably tablets, glass for tablets and phones and things like that. Not the big TVs that they talked about initially,” Evers said. The company’s point person in Wisconsin told CNBC that its long-term goals for the project are unchanged. The comments set off a flurry of activity, with Trump intervening and Foxconn’s then-chairman, Terry Gou, traveling to the White House and to Wisconsin on May 1 and 2 to smooth things over. Gou has since stepped down from the company to run for president of Taiwan in the January 2020 election.
“The natural outgrowth of that has been: ‘Let’s have some conversations around the quote-unquote deal, because it’s not going to be what that deal was set up on; it’s going to be something different,’” Evers said. While Foxconn’s factory has yet to rise on the site, the area was still a beehive of activity when CNBC visited in June. Nearby Interstate 94 was a giant construction zone — it is being widened to eight lanes from six, a requirement from Foxconn when it was still planning a Generation 10.5 plant. Off the freeway, crews were building new roads, laying utility and drainage lines and moving tons of dirt. Orange construction signs pointed the way for “Wisconn Valley Trucks.
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