SEUL (Reuters) – Samsung Electronics Co will suspend operations at its last computer plant in China, South Korean tech giant, the newest manufacturer to move production from the world’s second-largest economy, said Saturday.
Companies are reconsidering their production and chains amid China’s emerging labor costs, an industrial war between the United States and China, and the COVID-19 pandemic.
About a portion of the 1,700 workers hired at Samsung Electronics Suzhou Computer will be affected, those interested in studies and development reported Friday the South China Morning Post, informing Samsung staff.
The plant shipped $4.3 billion of goods outside China in 2012, a figure that had fallen to $1 billion in 2018, the Hong Kong newspaper said.
A Samsung spokeswoman declined to comment on the plant’s revenue and deliveries, or the main points about employees.
“China remains a vital market for Samsung and we will continue to supply amazing products and Chinese consumers,” the company said in a statement.
Samsung closed its last smartphone factory in China last year. Its remaining services come with two semiconductor production sites in Suzhou and Xi’an.
Reporting through Joyce Lee; Edited through William Mallard
All quotes were delayed for at least 15 minutes. See here for a complete list of operations and delays.
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