The major manufacturer behind your iPhone might be in trouble with the tax man

The Foxconn logo
(Image credit: Foxconn)

Foxconn, Apple’s largest iPhone manufacturer, is being investigated by Chinese authorities for its tax activities.

According to the Global Times, this comes after the manufacturer’s founder, Terry Gou, launched a campaign for President in Taiwan. While Foxconn has confirmed that an investigation is ongoing, China has, at the time of writing, not confirmed that these are taking place.

In a statement to Reuters, Foxconn said, “Legal compliance, in everywhere we operate around the world is a fundamental principle of Hon Hai Technology Group (Foxconn). We will actively cooperate with the relevant units on the related work and operations.”

Chinese experts in the article also explained that these investigations are commonplace with other companies, so they’re nothing to worry about. But the timing of this is something to raise an eyebrow at.

'Cause they’re the Taxman’

While it’s early days looking into why this investigation has begun, social media commenters wonder if this is mainly politically led.

When Gou launched his Presidential campaign in August, his main message was to unite political parties in Taiwan to keep the peace in the country. And while he’s collected enough signatures to stand as an independent next year, his poll numbers currently have him at the bottom of a four-person race.

However, it’s next to impossible that this will impact any of Apple’s manufacturing plans with Foxconn. China wants the company to keep its partnership with Foxconn going due to the economic benefits of manufacturing, and will likely leave this part of the company to its own devices.

But while this investigation is ongoing, Gou may have a bigger challenge to convince voters that he’s the right man for the role of President.

More from iMore

Daryl Baxter
Features Editor

Daryl is iMore's Features Editor, overseeing long-form and in-depth articles and op-eds. Daryl loves using his experience as both a journalist and Apple fan to tell stories about Apple's products and its community, from the apps we use everyday to the products that have been long forgotten in the Cupertino archives.

Previously Software & Downloads Writer at TechRadar, and Deputy Editor at StealthOptional, he's also written a book, 'The Making of Tomb Raider', which tells the story of the beginnings of Lara Croft and the series' early development. He's also written for many other publications including WIRED, MacFormat, Bloody Disgusting, VGC, GamesRadar, Nintendo Life, VRV Blog, The Loop Magazine, SUPER JUMP, Gizmodo, Film Stories, TopTenReviews, Miketendo64 and Daily Star.