Samsung finds itself in hot water with its last year overly wrought with exploding mobile phones and political scandals. Will this affect the group’s plans in Vietnam? Currying favour Samsung heir Lee Jae-Yong allegedly had a key role in the South Korean corruption scandal Samsung heir Lee Jae-Yong had a less-than-ideal Valentine’s day this year, as Seoul prosecutors looking into the recent bribery allegations brought against him announced intentions to make a second attempt to arrest him. The scandal centres on impeached South Korean President Park Geun-Hye’s confidante Choi Soon-Sil, who is accused of using her ties to the president to strong-arm local firms to “donate” nearly $70 million to two non-profit foundations, which Cho allegedly used for personal gain. As reported before, Samsung was the single biggest donor, giving millions of euros to Choi and her daughter, allegedly in exchange for policy favours from Park in return. … [Read more...] about Fate of Samsung’s investments in Vietnam questionable?
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Last year when Samsung Electronics announced plans to create a new US$3bn smartphone factory in the north-eastern province of Thai Nguyen, close to the capital city of Hanoi, many industry insiders were ecstatic. They thought this would be a golden opportunity for the nation’s domestic businesses to get a ground floor opportunity to win business from the manufacturing giant based in the RoK. Once completed, the facility would operate alongside another US$2 billion plant the company already had placed in operation, marking a definite shift of production away from China. Manufacturers in the electronics industry run on extremely tight margins and even the smallest of cost savings by relocating to Vietnam and taking advantage of the lower labour costs versus China represents a substantial competitive advantage. In addition, the Vietnam government had previously said Samsung's smartphone assembly lines would not need to pay corporate taxes for four years, and only half the normal … [Read more...] about Samsung shortlists 20 Vietnamese suppliers
In the midst of public suspicion about the fate of Samsung’s plans in Vietnam, today Samsung is going to receive the investment certificate for its $2.5 billion Samsung Display project in the northern province of Bac Ninh. The project is going to be located in Yen Phong Industrial Park. It has been approved in principle by the government earlier, and the government is going to give to the project all the incentives that are available to a large-scale project. With this project, Samsung Display’s total investment in Vietnam is going to be $6.5 billion. There is no confirmation from Samsung but experts said that Samsung Display’s expansion of investment in Vietnam may be related to Apple’s plan to switch to using AMOLED screen. Samsung is the only company in the world with exclusive technologies and the capacity for mass production of AMOLED screens to meet the demand of Apple. At the moment Samsung is holding a 95 per cent share of the … [Read more...] about Samsung affirms $2.5 billion expansion in Bac Ninh
Samsung Pay to offer free money transfer serviceBy Hung Le Kim Cheol Gi, general director of Samsung Vina, introduces the Galaxy Note 9 at a launch ceremony on August 14 - PHOTO: HUNG LE HCMC – Local customers can use a Samsung Pay card to conduct payment transactions and transfer money free of charge from early September, a representative of Samsung Vina Electronics said at Galaxy Note 9 launch ceremony held on August 14. The representative revealed that the feature will be available on the mobile payment system, Samsung Pay, of the Galaxy Note 9 and other Samsung smartphones. In particular, users will be able to easily transfer money from Samsung Pay cards to various bank accounts, including some banks beyond the ecosystem of Samsung Pay. Samsung Pay subscribers will benefit from the service for a year from the launch date. Nguyen Quang Hien Huy, deputy general director and executive director of Samsung Vina, stated that the new functions for Samsung Pay were … [Read more...] about Samsung Pay to offer free money transfer service
South Korean telecoms giant Samsung Electronics saw net profits leap by more than half in the first quarter, it said on Thursday (Apr 26), thanks to strong demand for memory chips and its latest high-end smartphone. Samsung, the world's biggest maker of memory chips, has recovered from a series of setbacks AFP/JUNG Yeon-Je The firm, the world's biggest maker of memory chips and the flagship subsidiary of the sprawling Samsung group, has recovered from a series of setbacks to post record profits in recent quarters. It faced an embarrassing global recall of the Galaxy Note 7 device over exploding batteries in 2016, and last year its vice-chairman Lee Jae-yong, scion of Samsung's founding family, was jailed for his part in the sprawling corruption scandal that brought down president Park Geun-hye. He has since been released after some of his convictions were quashed on appeal, and the firm's shareholders have seen its value soar. Net profit for the January to March period rose … [Read more...] about Samsung Electronics Q1 net profits up by more than half