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Home / Business / Samsung is pulling in the plug on Chinese smartphone manufacturing – TechCrunch

Samsung is pulling in the plug on Chinese smartphone manufacturing – TechCrunch



Samsung this morning confirmed to Reuters that it has shut down handset production in China. The move comes as the company continues to struggle in the world's largest smartphone market.

As we noted in a deeper dive into China's smartphone sales back in August, the Korean hardware giant has struggled to maintain a market share in the low single digits. Of course, it's not alone; Apple has also faced an uphill effort to crack the market, which is dominated by home-made names, including Huawei, Vivo, Oppo and Xiaomi.

Sales have been driven by a combination of prices and, in the case of embattled Huawei, patriotic buying decisions.

Samsung has slowly phased out production in the country over the past year, suspending operations in some factories, before finally pulling the plug completely. The news follows a similar move from Sony. However, Apple is maintaining production in the country for now.

Recently, Samsung has looked at other countries, including India and Vietnam, which have reduced China's production costs. However, the company will continue to sell phones in China, although it is looking at other cheaper manufacturing sites.


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