Samsung Electronics closed its last mobile telephone factory in China due to increasing competition from local rivals, according to Reuters. Samsung said it decided to shut down operations in a bid to boost efficiency. However, it added it would continue sales in China. The production equipment of the plant in Huizhou will be relocated to other manufacturing sites. In recent years, the company expanded smartphone production in lower-cost countries, including India and Vietnam.
The shutdown comes after Samsung cut the factory's production in June and closed another local factory late in 2018. Samsung declined to specify the Huizhou plant’s capacity or its numbers of employees.
Other manufacturers have also left China due to rising labour costs and the economic slowdown. Sony is also leaving, but Apple still makes products in the country.
