Foxconn TWSE:2317 is nearing a deal to supply electric buses to Japanese commercial automaker Mitsubishi Fuso Truck and Bus, Japan's Nikkei newspaper reported on Thursday, citing a source close to the Taiwanese chipmaker.
Mitsubishi Fuso, owned by Daimler Truck, plans to sell the Model T bus and Model U microbus, both developed by Foxconn, under its own brand, the report said.
Mitsubishi Fuso and Foxconn are looking to create a new company to oversee the buses, according to the report.
The Taiwanese chipmaker said in a briefing in April it intends to roll out the Model T and Model U buses in Japan in 2027.
Foxconn did not immediately respond to a Reuters request for comment.
Daimler Truck declined to comment on the report.