The global bus industry is entering a new phase where competition extends beyond vehicle models to encompass organizational and operational transformation. Mitsubishi Fuso Truck and Bus Corporation (MFTBC) and Foxconn Technology Group have announced the establishment of a new, jointly owned bus company, signaling a fundamental restructuring of Fuso’s bus business that moves beyond their earlier zero-emission vehicle (ZEV) collaboration, set for August 2025. This marks Foxconn’s transformation from parts supplier to vehicle manufacturer—a shift with significant implications for Japan’s public transport decarbonization and the broader electric vehicle sector.

Taiwan’s automotive market faced caution and subdued consumer demand throughout 2025 due to uncertainties over US tariffs and delayed tax amendments. Market confidence improved late last year with the passage of Article 12-5 of the Commodity Tax Act, which took effect in the fourth quarter of 2025, and progress in Taiwan-US trade negotiations, setting the stage for gradual growth in 2026.

Lightmatter has announced parallel collaborations with Global Unichip Corp. (GUC) and Cadence to accelerate the deployment of Co-Packaged Optics (CPO) in data centers. By integrating Lightmatter’s photonic technology with GUC’s ASIC capabilities and Cadence’s design IP, the trio aims to eliminate the connectivity bottlenecks that are restricting hyperscale AI workloads.