Air is leaking out of Foxconn’s Wisconsin balloon

A newspaper in Japan is reporting that Foxconn is suspending work on its $10 billion plant in Wisconsin, a day after news broke the company isn’t going to provide manufacturing jobs, but will make the facility a research and engineering facility instead.

The Nikkei Asian Review cites anonymous sources in its report because of “weakening macroeconomic conditions and the uncertainties brought by the trade war” and in Wisconsin, “as a result of negotiations with new Gov. Tony Evers,” the Milwaukee Journal Sentinel said.

The company, however, says work will continue.

The Nikkei report comes a day after Reuters reported Foxconn planned to put off much of its manufacturing plans at the Wisconsin plant, but remained committed to bringing the thousands of new jobs to the state as promised when Walker struck a deal with the company to build its first U.S. plant in Wisconsin in exchange for about $3 billion in taxpayer-funded subsidies.

Since lawmakers approved the subsidies in 2017, Foxconn has changed course several times — reports Foxconn has denied in the past.

The Taiwan-based company, one of the world’s largest electronics manufacturers, last year walked back its plans to build an LCD factory that would produce huge screens, opting instead for a less-costly plant that would make small panels for devices such as phones and tablets.

The company failed to meet its employment goal in 2018 that would allow it to receive state tax credits.

  • This was a grandiose plan from the get-go, with all the glitz and ultimate prospects of a Trump casino. Of course rational people shook their heads, but there was no stopping the train wreck.

  • Jeff

    Go Team Wisconsin! I’m wondering how you create a research facility when it’s not really located where you’d typically find research and engineering talent and recruiting won’t be easy either outside an urban area. Maybe they are adding taprooms and coffee houses.

    • lindblomeagles

      I’m very fond of that curtain they’re hanging up at the front door. You know, the one that eventually exposed the Wizard of Oz?

  • kevins

    I wonder if Wisconsin is sick of winning?

    • Ben Chorn

      The Packers are

      • lindblomeagles

        This was just FABULOUS! Thanks Ben.

  • Brian Simon

    Who could possibly have seen this coming?

    • lindblomeagles

      Given Scott Walker was championing this effort, I’d say um EVERYBODY not a resident in Wisconsin.

  • MrE85

    I see the Fox Cons are trying to drop the blame on Evers. Classy.

    • wjc

      They have the shovels ready in the picture to spread the BS.

  • AmiSchwab

    ex gov. walker was really a bright one eh

    • Frank

      Given he’s never earned a private sector pay check in his adult life, he’s got no idea how jobs are created.