At this point, it is quite obvious that Samsung has a lot of faith in the Galaxy S22 series' success. It has upped production of the smartphone significantly in its Vietnam facilities, which the company's CEO personally inspected. However, Samsung doesn't seem to have too much faith in the country as it has just moved its smartphone production line to Gumi, South Korea.
Samsung wants to rely less on Vietnam for its smartphone needs
According to a report from ETNews, Samsung doesn't want to risk Galaxy S22 production by overly relying on Vietnam. The ongoing pandemic and the ensuing lockdowns have made the market unreliable, prompting Samsung to make the transition. It is likely a part of Samsung's long-term plan to rely less on Vietnam for its smartphone needs
However, it is unclear as to how much of the load the Gumi plant will be able to take off Vietnam. Currently, it can only satiate local demand in South Korea, and those numbers have to be scaled up significantly if the plant has to make any meaningful impact. Among other things, Samsung could open up new production lines at the location. A Samsung official had the following to say:
“At around the end of last year, Samsung Electronics moved two of their Vietnamese smartphone production lines to Gumi. It seems that domestic production will gradually increase”
Samsung's decision to distribute its manufacturing plants across the globe sits in line with its lofty ambition of manufacturing 330 million smartphones this year. ODMs such as Wingtech will take some of the load off, too, by manufacturing up to 40 million units.
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