According to the Electronic Times news, Samsung will continue to diversify its global production base. The proportion of smartphone production in Vietnam factories will drop from 50% this year to 40% next year. Last year, the Vietnam factory once accounted for 60 percent of Samsung’s total smartphone production.
Rising labor costs in Vietnam and a slowdown in the global consumer market are considered the main reasons behind Samsung’s move.
As previously reported by Korean media ETnews, Samsung Electronics has shifted some of its smartphone production lines in Vietnam to its Gumi plant in Gumi, Gyeongsangbuk-do, as early as the end of 2021. This is a special measure taken after its main factories in Vietnam and other countries experienced production setbacks due to the New Crown epidemic.
Samsung has closed its smartphone factory in China in 2019.
