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Ed Hightower, a representative of Lordstown Motors Corp., traveled from Detroit to Taiwan last year to meet with executives of Foxtron, a business connected to iPhone manufacturer Foxconn Technology Group, in hopes of sparking the creation of a new electric vehicle. The CEO abandoned him.

By Covid-19 guidelines, Hightower had to spend three days in isolation before he could speak with the Taiwanese businesspeople. He had a chance to speak with Foxconn Chairman Young Liu and a few of his lieutenants. However, Foxtron, which is majority owned by Foxconn, was where the key work was to be done. The intention was to collaborate on a mid-size crossover SUV that would be produced at the former General Motors Co. factory in Lordstown, Ohio.

Hightower stated in an interview that the head of Foxtron declined to meet. Hightower was unable to obtain the necessary engineering plans, information, and license agreements to start the project. Liu, the chairman of both businesses, claimed he was powerless to force Foxtron to meet with Hightower. The American executive claimed he gave up and headed home after nearly two weeks.

Hightower, who was Lordstown’s president at the time of the trip and is now its chief executive officer, stated that he went to Taiwan to “break the logjam.” Hightower claimed that although “a lot of the time it is about relationships,” “I was not able to meet my objective” in this instance.

The incident was a precursor to the problems that would arise. After having trouble producing its electric trucks and failing to finalize a deal that would have made it the engineering division for Foxconn’s US operations for electric vehicles, Lordstown filed for bankruptcy on Tuesday. Foxconn was also sued by Lordstown, who claimed fraud and contract breach.

After Lordstown declared bankruptcy, a Foxconn spokesperson declined to make any additional comments. The Taiwanese business claimed to have “a positive attitude in conducting constructive negotiations with Lordstown Motors and in assisting Lordstown in finding a solution to its financial difficulties.”

But throughout this time, Lordstown Motors has persistently sought to deceive the public and has resisted carrying out the conditions of the investment agreement between the two parties, according to Foxconn’s statement. Without resorting to pointless legal procedures, it had “hoped to continue talks and find a solution that could satisfy all stakeholders, but to date, the two parties have not reached a consensus.”

Lordstown is one of the earliest casualties of the easy money period when entrepreneurs trying to revolutionize the auto industry with EVs and self-driving software were showered with cash, frequently even though they had no operating vehicles or income.

Lordstown stood out among a group of flashy newcomers that included Nikola Corp. and Fisker Inc. in part due to the symbolic nature of its genesis narrative. Its founder, Steve Burns, spent $20 million to reopen a defunct GM plant in a depressed area of northeast Ohio. Along the way, Burns boldly vowed to release an electric truck before Tesla Inc., GM, and Ford Motor Co. That aspiration of dominance was never realized.

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