Troubles in the form of a trade war with the United States and the outbreak of the coronavirus have plagued China for some time, but electronics manufacturers are trying to locate new enterprises outside of this country under the influence of purely economic factors. Samsung has long relied on Vietnam in the production of smartphones, and now the company is concentrating the production of displays there.
This year, Samsung Electronics intends to place additional production capacity for the production of displays in the south of Vietnam, curtailing or limiting their production in China. This is reported by the agency with reference to the Vietnamese media. . The South Korean giant is the largest foreign investor in the Vietnamese economy, with Samsung Electronics already investing at least $17 billion in local businesses and infrastructure.
Moving the bulk of Samsung display production to the south of Vietnam would make the country the largest exporter of this type of product of this brand. Samsung official representatives this information later . The company already has six display factories in Vietnam, as well as two research centers. Most likely, the increase in Samsung's presence in Vietnam will occur without compromising Chinese display production.
According to studies, the Vietnamese open spaces attract foreign investors not only by the low cost of land and labor, but also by a developed system of tax preferences. The presence of agreements on duty-free trade with many countries of the region also has an effect. With the European Union, a preferential customs regime is also provided. During the self-isolation, the Vietnamese authorities made indulgences for Korean engineers who were supposed to visit local Samsung enterprises - they were allowed to not undergo a mandatory 14-day quarantine for foreigners.
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Source: 3dnews.ru