Samsung Electronics halts Chinese computer operations
Science & Technology ı By Jackie Allen
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Samsung closed its last Chinese smartphone factory
Last year Samsung closed the doors on its last smartphone factory in China. It still maintains two semiconductor manufacturing sites in Suzhou and Xi'an. Huizhou Samsung Electronics began smartphone production in 2003 and ended in 2019. In 2011, the Samsung complex in Huizhou was the South Korean company’s largest Chinese factory. At the time it produced one in five smartphones sold in China. That was when Samsung still ranked No. 1 in China with 20% of the smartphone market. By 2019, its market share dropped to just 1% in the face of stiff Chinese-based competition like smartphone makers, Huawei, Xiaomi, and Oppo. The shift in production from China was a response to the market, as well as the higher costs of doing business in China. The labor costs were steadily rising, rental costs were higher, and increased taxes in China were the last straw for Samsung.
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