Hon Hai, Tencent, China Harmony Auto partner in electric car business

Terry Gou, chairman and president of Hon Hai Precision Industry Co.

TAIPEI - Hon Hai Precision Industry Co Ltd on Monday said it will work with Chinese Internet services provider Tencent Holdings Ltd and luxury car dealer China Harmony Auto Holding Ltd to develop opportunities related to electric vehicles.

The three companies signed an agreement to co-operate in Zhengzhou in China's Henan province, the Taiwanese contract manufacturer said.

China Harmony Auto and Tencent - best known for its WeChat messaging app - were not immediately available for comment.

Hon Hai assembles the bulk of Apple Inc's iPhones, according to analysts, and has manufacturing operations across China. It has been working to diversify from the competitive, low-margin contract business.