Samsung to Shift Some Smartphone Production to Vietnam Due to Coronavirus
Samsung Electronics said on Friday that it would temporarily move some smartphone production to Vietnam from South Korea after another of its Korean staff tested positive for the coronavirus, forcing it to close a factory.
The group had suspended operations at its factory in the southern city of Gumi in South Korea after a worker tested positive for the virus. The plant, which makes Samsung’s premium phones like S20 and Z Flip foldable phones, will resume production on Saturday.
Since late February, a total of six workers have tested positive at the factory complex in Gumi.
Samsung has already shifted much of its smartphone production to Vietnam over the past decade, where it makes over 50% of its phones and has so far seen little production disruption.
Samsung on Friday launched its S20 flagship smartphones globally as scheduled amid concerns that the virus would dent demand for premium phones at home and overseas markets.
Meanwhile, social media giant Facebook and Alphabet's Google on Thursday recommended their San Francisco Bay area employees work from home to minimize the risk of spreading coronavirus.
Facebook said it is “strongly recommending that all Bay area employees and contingent staff work from home starting Friday.”
Employees and contractors involved in the site’s safety and security will continue to work on site, while all Bay Area events will remain canceled, according to the statement.
Separately, Google has offered a work-from-home option to employees in Bay Area offices.
Microsoft has also confirmed early on Friday that two of its employees have been diagnosed with COVID-19.