The Ministry of Transportation and Communications (MOTC) released the Taiwan New Car Assessment Program (TNCAP) results for the fourth quarter of 2025 on December 29, 2025, highlighting the Luxgen N7 as the sole model to achieve a 5-star safety rating. The announcement follows comprehensive testing of four selected vehicles, an initiative aimed at enhancing consumer transparency and raising overall vehicle safety standards across Taiwan.
Ability Opto-Electronics Technology (AOET) expressed optimism for its 2026 operations during its earnings call on December 30, despite the notebook market being impacted by rising memory prices in the fourth quarter of 2025, prompting some customers to scale back shipment volumes. Chairman Victor Kao pointed to the company's new product line expansions and the gradual securing of customer certifications as key drivers of confidence for 2026.
In 2025, the global automotive industry faced major structural shifts and geopolitical disruptions. Slowing growth in battery electric vehicles, changes in US EV policies, and chip supply chain issues forced automakers and suppliers to speed up strategic changes. DIGITIMES News highlights the top 10 key trends shaping the industry this year, providing valuable insights for stakeholders.
Fukuta is accelerating its push into the emerging unmanned vehicle market by developing compact electric motor and joint motor modules, aiming to capitalize on new structural opportunities in the electric motor supply chain driven by drones, low-earth orbit satellites, and robotics moving from demonstration to commercial use.
In the transformation of automotive electronics and electrification (E/E), subsidies have long been regarded as the fuel propelling the shift. Yet in 2025, Germany's electric vehicle (EV) market is experiencing what could be described as a "sudden assault after the rations end."
MediaTek has announced a collaboration with Japanese automotive giant Denso to jointly develop customized SoC products for advanced driver-assistance systems (ADAS) and smart cockpit technologies. By combining Denso's expertise in automotive safety standards with MediaTek's chip development experience and IP portfolio, the partners aim to rapidly create and mass-produce solutions tailored to automakers' specific needs.
South Korea's battery equipment industry has secured a series of large orders tied to India's rapidly expanding battery manufacturing investments, marking a long-awaited breakthrough after months of intense competition with Chinese suppliers, according to Ddaily, TheElect, and Nate.
Despite headwinds in Taiwan's overall auto market in 2025, the electric vehicle (EV) segment has gained notable momentum in the second half of the year. Competition is intensifying among models priced below NT$1.5 million (approx. US$47,770), while the sub-NT$1 million range is emerging as a primary battleground for a head-to-head showdown between domestic and imported EVs.
Chinese electric vehicle manufacturers now hold nearly 30% of the Indian EV market, marking a significant shift amid New Delhi's consideration of easing investment restrictions. This development follows years of protective policies and high tariffs designed to shield domestic players such as Tata Motors and Mahindra & Mahindra from foreign competition.
Foxconn's operating structure is clearly shifting. Previously driven mainly by consumer electronics cycles, it is now gradually tilting toward AI servers, cloud, AI infrastructure, and high-performance computing (HPC). With continued investment and deployment in emerging businesses such as electric vehicles (EVs), results are expected to surface in 2026.
In recent years, Foxconn has steadily expanded its ambitions in electric vehicles, moving beyond its traditional role as a platform provider and contract manufacturer toward the consumer-facing end of the market. Through its subsidiary Foxtron—operating under the formal name Hon Hai Advanced Industry—the group has begun directly running an EV business in Taiwan. Earlier this month, Foxtron hosted an online launch event, unveiling three new EV models simultaneously.
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