SEOUL (Reuters) – Samsung Electronics Co (005930.KS) will close operations at its latest computer plant in China, South Korean generation 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 impact of the COVID-19 pandemic.
Approximately part of the 1,700 workers hired at Samsung Electronics Suzhou Computer will be affected, those interested in studies and development, the South China Morning Post reported Friday, publicizing Samsung staff.
The plant shipped $4.3 billion in 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 to Chinese consumers,” the company said in a statement.
Samsung closed its last smartphone factory in China last year. Its remaining amenities include two semiconductor production sites in Suzhou and Xi’an.
Reporting through Joyce Lee; Edited through William Mallard
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