Almost half of Samsung’s smartphones are produced by the company in Vietnam, and after an investment of 920 million US dollars, local capacities are to be expanded: printed circuit boards, touch panels, camera modules, linear actuators and other components for mobile devices are produced here.
For Vietnam, as explained Nikkei Asian ReviewSouth Korean company Samsung Electronics is already the largest foreign investor and exporter. During the first wave of the pandemic, which hit China harder, Vietnam remained a kind of “safe haven”, but last summer did not change the situation for local production for the better. Along with Samsung, Intel, which has factories in Vietnam that test and package processors and chipsets, also suffered from the lockdown caused by the pandemic.
Back then, employees of industrial companies were ordered to stay overnight at work, but now the majority of the population in Vietnam is vaccinated and the authorities are unlikely to return to such strict restrictions if the epidemiological situation in the country worsens. Samsung employs around 6,600 people in North Vietnam. An additional $920 million in funds will be partially spent on the construction of new manufacturing buildings. This move confirms the Korean company’s confidence in the advisability of establishing a manufacturing base in Vietnam.