LG to move manufacturing from S. Korea to Vietnam
According to a report by Reuters, LG plans to stop manufacturing its smartphones in its factory in South Korea. They will apparently be moving all manufacturing to its factory in Vietnam.
The information originally came from an unknown source of the Yonhap News Agency. That report stated that the move is to help reduce the cost of manufacturing and turn around the company’s smartphone division since it has been quite inefficient in terms of money lately.
We cannot say that this move was completely unexpected. Recent LG phones did not quite meet users’ expectations. Chinese competitors have taken over LG’s role at the lower end of the market these past few years and at the higher end, they never managed to compete with the top dogs like Samsung, Huawei, and Apple. The company’s latest LG G8 has been one of the most disappointing launches of the year even though it was technically on par.
LG will probably still try to make an impact in the smartphone market. However, they are definitely making moves to ensure their presence on the market.