Samsung Electronics will halt operations of its ultimate computer manufacturing facility in China, the company said on Saturday, the latest producer to shift manufacturing from the world’s second-biggest financial system.
Companies are rethinking their manufacturing and supply chains amid rising Chinese labour costs, a U.S.-China commerce battle and the blow from the COVID-19 pandemic.
According to experiences, spherical half the 1,700 employees on contract at Samsung Electronics Suzhou Computer could be affected, excluding these involved in evaluation and development.
The manufacturing facility shipped $4.three billion worth of merchandise out of China in 2012, a decide that had sunk to $1 billion by 2018, experiences said.
A Samsung spokeswoman declined to contact upon the manufacturing facility’s revenue and shipments, or particulars referring to employees.
Samsung shut its ultimate smartphone manufacturing facility in China ultimate yr. Its remaining facilities embody two semiconductor manufacturing web sites in Suzhou and Xi’an.