Home News Samsung to end manufacturing of smartphones in China

Samsung to end manufacturing of smartphones in China

China and US trade has to lead the economy on roller coaster ride for the past many months. A new addition to the problem is the movement of technological companies outside China. The labor cost is quite high in China along with the trade war which has lead many companies to set up their firms in countries other than China where labor cost is less and the market is flourishing.

Recently, Pixel manufacturing has been moved by Google to Vietnam. Apple has also decided to move its manufacturing unit from China to South East Asia. Apple has asked its major suppliers to calculate the cost of implications for shifting 15% to 30% of its production outside China. The beleaguered sale of Samsung mobiles has made Samsung to shut down its factory in China.

READ  Xiaomi launches Mi TV LUX 65-Inch OLED with 120Hz refresh rate and HDR10+

According to a report from Reuters, Samsung has ended the production of all smartphone units in China. Samsung reports that the bad sale of the smartphone along with the growing market of Huawei and Xiaomi has to lead to Samsung declination in China. Huawei and Xiaomi devices have seen exponential growth in their sales in China.

READ  The worlds first C mask that connects to smartphones invented by Japanese company

“In China, people buy low-priced smartphones from domestic brands and high-end phones from Apple or Huawei. Samsung has little hope there to revive its share,” said Park Sung-soon, an analyst at Cape Investment & Securities.

Samsung will still sell its smartphones in the China market but the manufacturing will be done in other countries. Samsung has already started manufacturing 50% of its smartphones in Vietnam since 2015. In 2018 Samsung opened one of the largest phone manufacturing plants in Noida, India.

READ  SONY TO CHANGE IT’S NAME AFTER 60 YEARS

“The production equipment will be re-allocated to other global manufacturing sites, depending on our global production strategy based on market needs,” Samsung said in a statement.

Swati Joshi
Journalist in making. An avid traveler and reader, highly opinionated. Belongs to Dehradun, studying in Mumbai. Technically sound. You can connect with her via social media.

Stay Connected

16,985FansLike
2,458FollowersFollow
61,453SubscribersSubscribe

Must Read

The worlds first C mask that connects to smartphones invented by Japanese company

A Japanese start-up called Donut Robotics has developed a smart mask called the C mask, that can connect with your smartphone while...

SONY TO CHANGE IT’S NAME AFTER 60 YEARS

Sony, which is one of the most common names in the consumer electronics market worldwide, has decided to modify its brand name...

Xiaomi launches Mi TV LUX 65-Inch OLED with 120Hz refresh rate and HDR10+

Xiaomi launches their new smart TV, powered with quad-core processor with a black back panel and a wall mounting support. The new...

Hyundai Venue to get the clutchless manual transmission

Hyundai has announced that they are introducing a new clutchless manual transmission in their new Venue Compact SUV. It is called the...

Related News

READ  Hyundai Venue to get the clutchless manual transmission

The worlds first C mask that connects to smartphones invented by Japanese company

A Japanese start-up called Donut Robotics has developed a smart mask called the C mask, that can connect with your smartphone while...

SONY TO CHANGE IT’S NAME AFTER 60 YEARS

Sony, which is one of the most common names in the consumer electronics market worldwide, has decided to modify its brand name...

Xiaomi launches Mi TV LUX 65-Inch OLED with 120Hz refresh rate and HDR10+

Xiaomi launches their new smart TV, powered with quad-core processor with a black back panel and a wall mounting support. The new...

Hyundai Venue to get the clutchless manual transmission

Hyundai has announced that they are introducing a new clutchless manual transmission in their new Venue Compact SUV. It is called the...