South Korea’s Samsung Electronics will cease production at its sole television factory in China this year. By November, the company will have officially ended all formal production in China, the world’s second-largest economy.
The factory for televisions situated in China’s Tianjin is the sole base for production in the country, according to the company’s spokesman.
The company in a statement revealed that the decision to shut shop in China is part of the company’s “ongoing efforts to enhance efficiency” in its production capabilities.
The factory in question has 300 workers, as per numbers reported by Yonhap news agency. The company had not officially announced the number of workers involved in maintaining the factory.
Samsung did add that many workers and equipment will be retained.
Now, Samsung Electronics will be left with a home appliance factory in Suzhou in China. Additionally, the company runs chip production facilities in Suzhou and Xian.
Earlier, Samsung Electronics’ display unit had confirmed that it would sell its majority stake in the Suzhou liquid crystal display (LCD) production unit to TCL Technology Group Corp’s Star Optoelectronics Technology unit.
In March, Samsung Display had announced that the company will cease production of all of its LCD panels in South Korea and China before this year ends.
In August 2020, Samsung also added that the company is shutting down its last computer factory in China.
A lot of companies are pulling out of China owing to the global backlash received in the aftermath of COVID-19.