Telecom Equipment News
- Samsung to move some production to China
Date: 9-Jul-2007 Sources: (Shenzhen Daily)
SOUTH KOREA'S largest electronics parts maker said Friday that it would move all its camera module production lines for mobile handsets to China this year.
Samsung Electro-Mechanics, a sister firm of Samsung Electronics, said the relocation was designed to cut costs and meet rising demand from clients in the Chinese market.
'The relocation is already underway. We will complete it in the third quarter of this year,'a spokeswoman told reporters.
'It is in line with our efforts to strengthen our competitiveness and also to meet growing demand from our clients including Motorola in China,'she said.
The company already produces 70 percent of its camera modules at its Chinese plant in Tianjin, she said, adding that major mobile phone makers were rushing to open production plants in China.
Samsung Electronics has accelerated global outsourcing in the face of cut-throat competition. Last year it produced 34 percent of mobile handsets from its factories in China.
Last month Samsung Electronics opened a chip plant at Austin in Texas, United States and announced a plan to build a US$57 million digital television plant in Russia.
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