Samsung’s suppliers reach out to new businesses in Vietnam

By BizClik Admin
Share

Samsung Electronics’ local suppliers has started to reach out to new businesses following their relationship with the South Korean-based technology company, Nekkei Asian Review reports.

Ten years after the multinational conglomerate confirmed it will produce smartphones in Vietnam, there has been a meteoric rise in companies supplying to Samsung’s biggest phone production hub.

From four in 2014 to 29 in 2018, the figures are anticipated to increase even further to 50 by 2020.

The companies are extending their reach to new industries such as automobiles and exploiting the technological prowess that the South-Korean giants created to shape a local supply chain.

It was confirmed that one vital supplier, Meiko Electronics, opted to spend over $100mn to enhance facilities at its Hanoi premises.

See more:

Hyperloop Transportation Technologies to build China’s first hyperloop system

Suning Sports raises $600mn in Series A funding round

Ascletis Pharma issues IPO, GIC set to invest $75mn

The firm focuses on printed circuit boards which enable smartphone parts to be mounted and its investment was one of the Japan-based company’s biggest purchases.

Since production started in 2011, Meiko aims to utilise its experience gained to use production technology similar to that of semiconductors.

This will be used to produce circuit boards with wires just 30 micrometers wide at its new facility.

Shuji Ida, factory director of Meiko Electronics Vietnam said: “Vietnamese workers stay at their jobs more than in other countries like China, and technological skills are improving.”

It is expected that Samsung employs approximately 160,000 people in Vietnam, with over 200mn a year smartphones produced globally, including its latest top device, the Galaxy S9.

Share

Featured Articles

Nirvik Singh, COO Grey Group on adding colour to campaigns

Nirvik Singh, Global COO and President International of Grey Group, cultivating culture and utilising AI to enhance rather than replace human creativity

How Longi became the world’s leading solar tech manufacturer

On a mission to accelerate the adoption of sustainable energy solutions, US$30 billion Chinese tech firm Longi is not just selling solar – but using it

How Samsung’s US$5billion sustainability plan is working out

Armed with an ambitious billion-dollar strategy, Samsung is on track to achieve net zero carbon emissions company-wide by 2050 – but challenges persist

UOB: making strides in sustainability across Southeast Asia

Sustainability

Huawei smartwatch goes for gold with Ultimate Edition

Lifestyle

How IKEA India plans to double business, triple headcount

Corporate Finance