Taipei, Feb. 24 (CNA) Hon Hai Precision Industry Co., the world's largest contract electronics maker, announced Wednesday that it has signed a memorandum of understanding with Fisker Inc., a U.S. electric vehicle (EV) maker, to build a new EV model under the Fisker brand, with the goal of starting mass production by the fourth quarter of 2023.

Hon Hai and Fisker plan to develop the new model through an initiative known as Project PEAR (Personal Electric Automotive Revolution) and is scheduled to officially sign a partnership agreement by the second quarter of this year after negotiations have been completed, according to the Taiwan-based manufacturing giant.

The new Fisker EV model will be the second product jointly developed by the two companies following a planned rollout of the Fisker Ocean electric SUV in the fourth quarter of 2022.

Hon Hai and Fisker plan to produce 250,000 units of the new model per year, setting North America, Europe, China and India as target markets.

The planned partnership is part of Hon Hai's ongoing venture into the development of electric cars.

Last year, Hon Hai, known as Foxconn in the global market, announced a joint venture with the Yulon Group, a major Taiwanese carmaker and distributor, to promote the MIH Open Platform, which was established by Hon Hai to drive growth in its EV business.

Earlier this year, Hon Hai teamed up with Chinese carmakers Byton and Geely on the development of electric cars.