Samsung Electronics Corp. said on Saturday that it has decided to suspend the operations of its last computer factory in China.
Samsung, the South Korean technology giant, is the latest manufacturer to decide to transfer production from China.
Major companies are rethinking their production chains amid rising Chinese labor costs.
The new corporate policy was also noticeably affected by the trade war between the United States and China, as well as the emerging epidemic of Corona, of which China is the global center.
The China Morning Post reported Friday, quoting a notice for Samsung employees, that about 1,700 Samsung Electronics Suzhou Computer contract employees will be affected, with the exception of those involved in research and development.
The Hong Kong newspaper said the plant, which will be closed, shipped $ 4.3 billion worth of goods outside China in 2012, a figure that fell to $ 1 billion by 2018.
Reuters said a spokesperson for Samsung, declined to comment on factory revenues and shipments or employee details.
“China remains an important market for Samsung and we will continue to provide quality products and services to Chinese consumers,” the company said in a statement.
It is reported that Samsung closed the last smartphone factory in China last year. Its remaining facilities include two semiconductor manufacturing sites in Suzhou and Xi’an.