Samsung has reduced production at its smartphone factory in Vietnam. This is what employees tell Reuters. The tech giant already reported this quarter that smartphone demand had fallen due to economic uncertainty.
factory workers Tell Reuters That production at Samsung’s Vietnamese factory had been curtailed and that their work had been lessened as a result. One employee says they currently only work three or four days a week at the factory. Some production lines have been changed from six working days per week to four working days per week. Additional work will no longer be necessary.
The factory, located in the Vietnamese province of Thai Nguyen, accounts for more than a third of Samsung’s smartphone production. The tech giant delivered about 270 million smartphones last year and its factory in Vietnam is producing by company About 100 million devices annually. It’s not immediately clear if Samsung will move production to other production sites; Samsung also makes phones in South Korea and India.
At the same time, many factory workers who have worked at Samsung for more than five years told Reuters they have not seen such a significant drop in production. “Of course there is a quiet season every year, it’s often around June and July, but that means no overtime, not that kind of shortened working day,” said factory worker Pham Thi Thong, 28. She said managers have told employees that unsold stocks are high and that many new orders are not being returned. Match with previous posts.
Samsung told Reuters it had “not talked” about lowering its annual production targets in Vietnam. In its latest presentation of its quarterly numbers, Samsung indicated that the company is seeing a drop in demand for phones, in part due to economic concerns. The company does not expect a significant increase in smartphone sales for the rest of the year. Samsung will soon come up with new foldable devices.
