Samsung slows down with smartphone manufacturing in Vietnam | Rumor

Samsung has decreased the production of smartphones: says it Reuters, who spoke to employees of one of the giant’s two huge factories located in Vietnam. The post-pandemic period of great economic uncertainty has significantly reduced consumer spending, and retailers’ warehouses are rapidly filling up.

The factory in question is located in the Thai Nguyen province, and at full capacity it is capable of produce up to 100 million smartphones a year (Note that overall Samsung produces around 270 million phones a year, more than half of which in Vietnam). One of the workers who spoke to the magazine says several departments will work shorter hours, three or four days a week instead of the usual six, and no overtime.

Recently, during the last quarterly meeting with investors, Samsung expressed optimism about the sales prospects of the second half of the year – in which, it is worth remembering, it will present the new generation Galaxy Z Fold 4 and Galaxy foldable smartphones. Z Flip 4 (the Unpacked event is scheduled for next Wednesday, August 10th). However, employees of the Vietnamese factory say they have not never seen such a dramatic reduction in productivity. Generally this period is rather sluggish, they say, but at most a freeze has been called for overtime, not even a reduction in working days.

The good news is, at least for now, the management does not seem willing to make redundancies; however, even a reduction (or rather, a halving according to the testimonies) of the salary has an impact on workers and families. In short, it remains to be understood how long this situation will last.