Samsung Display cleared to build $1bn plant in Vietnam
Smartphone leader’s subsidiary announces project to be completed in 2015
Samsung Electronics' display-manufacturing subsidiary today announced it had secured the approval of the Vietnamese government to build a $1bn module assembly plant in the country, Reuters reported.
The plant, Samsung's first in Vietnam, will be erected in Bac Ninh province in 2015. Samsung has reportedly not decided which models will be manufactured there or in what volumes.
Samsung has come under escalating pressure from Chinese competitors, like Huawei Technologies, making premium handsets at lower price points and competing more robustly in mid- and low-tier categories. Cost-cutting may allow the South Korean smartphone market leader to recoup some lost ground.
Samsung Electronics has an 84.8% stake in unlisted Samsung Display, according to Reuters.