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Samsung Closes its Last Manufacturing Plant in China


Samsung has completely shut down its last factory in China. The last manufacturing plant of Samsung in Huizhou, China has been closed.

Back in 2017, the Huizhou factory manufactured 64 million phones. Then in 2011, 70 million phones were manufactured in the factory.

Now the steps taken by Samsung do not mean that the South Korean giant is pulling out of China. It will continue to sell phones in China. But, the fact that Samsung is facing extreme competition from the local brands means that it is no longer economically viable for the company to manufacture phones in China.

The market share of Samsung in China has gone down to 1%. The local Chinese consumers prefer local brands due to affordable prices. And if they want to purchase premium devices, they prefer Huawei and Apple.

The production equipment of Samsung will be shifted to other facilities. Samsung has been expanding its production capacity in other countries including India and Vietnam. It is because the manufacturing cost is lower in these countries.

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It’s not just Samsung that has closed its smartphone plant. Earlier Sony also closed its smartphone plant in Beijing.

Nicole Craig

Media coordinator and junior editor at Research Snipers RS-NEWS, I studied mass communication and interested technology business, I have 3 years experience in the media industry.