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Samsung’s chip plant in China resumes normal operations

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Last updated: January 26th, 2022 at 08:13 UTC+02:00

Samsung had announced last month that it had to cut down chip production at its manufacturing plant in Xi’an, China. Today, the company offered an update on the matter. It said in a press release that its chip plant has resumed normal operations as the government has lifted the COVID-19 restrictions.

The Chinese government had imposed a strict lockdown in Xi’an on December 22 to stop the spread of the COVID-19 virus. People were restricted from venturing outside their homes for non-essential activities. So, Samsung had to scale down the production of semiconductor chips as its employees were facing difficulties while traveling to work.

Today, the restrictions were lifted by the Chinese authorities, and the work returned to normal levels at Samsung’s chip plant. The Xi’an plant is the company’s only NAND flash chip manufacturing plant outside of South Korea.

Samsung is the world’s biggest memory chip manufacturer, with a 34.5% market share in the NAND flash category. A scale-down of production at the Xi’an chip plant may have resulted in millions of dollars in losses. So, the start of normal operations is excellent news for the company.

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