Samsung Vietnam Denies Moving Smartphone Production To India

The Economic Times reported that Samsung could shift part of its smartphone production from Vietnam and other countries to India.

Samsung is said to be planning to manufacture devices worth $40 billion in India.

A person familiar with the matter says that under the PLI scheme, the company is likely to diversify its product lines to produce smartphones. The decision will affect existing operations in other countries including Vietnam.

According to TET, Samsung has submitted to the Government of India its plans to produce smartphones worth $40 billion in the next 5 years under the PLI scheme. Phones with a factory price of $200 or less will account for more than $25 billion. Most smartphones on this list will be exported.

Vietnam is one of the world's largest smartphone exporters, just after China. Samsung manufactures nearly 50% of its smartphones in Vietnam. The company also has facilities in Brazil and Indonesia. If Samsung moves forward with this plan, it, along with Apple, will move part of its important production line to India.

During a recent press conference, India’s Communications and IT Minister Ravi Shankar Prasad said that the PLI plan had received positive responses from domestic ass well as international electronics component makers.

However, this information has been denied by Samsung Vietnam. At the moment, Samsung’s phone manufacturing plants in Bac Ninh and Thai Nguyen are still operating normally without having any connection to the adjustment of the Indian plant. Samsung Vietnam has always maintained its role as the group’s global production base.

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