Turn to Vietnam and make 350 billion yuan of production in China

Because of its abundant labor force and low labor cost, China has attracted many foreign investors to build factories in China. As a result, China has the title of “the world’s first factory”, and many products are marked with the word “made in China”. However, with the growth of China’s economy, the cost of labor has increased accordingly. As a result, many enterprises began to move their production lines from China to Southeast Asia. < / P > < p > among them, Samsung, which has harvested nearly 350 billion yuan in China in 2018, will gradually build factories in China instead of Vietnam. In 2002, Samsung’s mobile phones entered the Chinese market. After the decline of brands such as Nokia, Samsung quickly took over its position and became the leader of Android phones. For many years, Samsung has been one of China’s best-selling mobile phones and is quite popular. However, the rise of apple and Huawei has impacted Samsung’s position, while Xiaomi and other brands have hit Samsung’s low and medium-end mobile phones with cost performance. In addition, Samsung’s mobile phone “explosion door” incident occurred, Samsung’s position in China has plummeted. In recent years, Samsung’s factories in China have been constantly closed. In addition to considering the labor cost, it must be related to its poor sales in China. < / P > < p > in 2019, Samsung closed its last mobile phone factory in China. This year, Samsung’s last computer factory in China was closed. Today, Samsung has shifted its focus to Vietnam, where labor costs are lower, and Vietnam will become Samsung’s largest production base. In the future, Samsung will build the largest Samsung factory in Vietnam. It is understood that Samsung has invested 17.4 billion US dollars, equivalent to 120 billion yuan, for the construction of factories in Vietnam. From this we can see that Samsung attaches great importance to Vietnam production base. Samsung’s move is bound to drive the development of Vietnam’s local economy and bring more jobs. The departure of Samsung factory has both advantages and disadvantages for China. < / P > < p > although this will take more jobs, it can promote China’s industrial upgrading and promote China’s development from labor-intensive enterprises to science and technology and knowledge intensive enterprises. It is understood that since 2008, Samsung has started to transfer its factories to Vietnam. Today, Vietnam has eight Samsung production bases. In addition to Samsung, UNIQLO, Foxconn and other giants’ production plants have gradually shifted to Southeast Asia. < / P > < p > with the growth of China’s economy, this situation is inevitable, and there will be more similar situations in the future. Vietnam, Myanmar and India will replace China as the “world’s first factory”. What do you think of this phenomenon? May as well leave a message to tell the author. gather and watch! Huawei P40 Pro evaluation: excellent mobile phone photography elegant design, do you like it?

Author: zmhuaxia