Samsung's outstanding moves in Vietnam and other countries in the "year of Covid-19"

South Korea

In August 2020, Samsung Electronics announced that it was on track to achieve its domestic spending target of KRW 130 trillion ($109.6 billion) out of a total investment commitment of KRW 180 trillion in domestic investment by 2020. Samsung Vice Chairman Lee Jae-yong, then went on to pledge to invest KRW 180 trillion ($151.8 billion) in new growth engines and create 40,000 jobs over the next three years.

India

On January 20, 2020, Samsung Display, a display supplier to Samsung Electronics, announced an investment of nearly $500 million to build a new factory in India, according to Reuters.

In August 2020, according to The Economic Times (Indian newspaper), Samsung continued to submit to the Indian Government a plan to produce smartphones worth $40 billion over the next 5 years under the PLI plan. Samsung India will also start producing TVs domestically in December 2020, according to a report in the Economic Times.

According to a statement by India's Ministry of Electronics, Information and Technology, companies in the country will have to ramp up smartphone production in the country to benefit from the recent policy to boost production. They will receive tax incentives from 4% to 6% for some products manufactured in India for a period of 5 years. The incentive is expected to bring an investment of 110 billion rupees ($1.5 billion) to the country's electronics manufacturing industry.

China

Samsung Electronics will close its last phone factory in Huizhou City (China) at the end of October 2019. This is a milestone marking Samsung's complete withdrawal from China.

Samsung used to account for 15% of the smartphone market in China, but then its market share fell to 1% due to fierce competition from Huawei and Xiaomi. 

Hungary

Samsung SDI has recently begun expanding its manufacturing facility in Hungary to double its production line, from 4 to 8 lines. After completing the expansion, they will produce 20 GWh of electric vehicle batteries in Hungary. The capacity is almost equal to the total output of Samsung SDI last year.

According to industry insiders, Samsung SDI needs to build a new factory to increase its market share. Samsung SDI is currently the fourth-largest supplier of electric vehicle batteries in the world after LG Chem, CATL and Panasonic, Business Korea wrote.

Vietnam

Samsung started construction of Southeast Asia's largest Research and Development (R&D) Center in Hanoi (March 2020). In the context of the COVID-19 epidemic, Samsung's production and business situation is still developing, contributing to the development of Vietnam.

Mr. Lee Jae Yong affirmed that it will be put into operation by the end of 2022, just as Samsung has committed to the Prime Minister. At that time, this center will have more than 3,000 engineers working, becoming the main R&D base of the Group.

Vice Chairman of Samsung Group Lee Jae Yong acknowledged that Vietnam is one of the few countries that both effectively fights the epidemic and develops socio-economically, "every time I come to Vietnam, I see more new buildings growing up, more newly built roads, good hotels".

It is known that Samsung Group is choosing a location to invest in a high-tech project, the Prime Minister affirmed that Vietnam is ready and creates the most favorable conditions for Samsung to invest in this project.