Samsung’s only chip plant in China cuts production due to quarantine

Recently in Xian City, strict quarantine has been considered to control Covid 19 and especially the new type of Omicron of this virus, which has reduced the production of Samsung Electronics chips in this area. The Korean tech giant said in a press release that it had decided to temporarily reduce chip production at its plant in Xian City.

The decision was made to protect the health and safety of Samsung’s employees and business partners and remains a priority for the company, Gizmochana reports. In addition, measures will be taken to ensure that consumers are not affected by these conditions. One of these measures is the use of Samsung’s global production network.

Earlier, Chinese authorities quarantined Xian on December 22, prompting Samsung to respond urgently, and the company changed all employees on the production line to continue working at full capacity. In an interview with Korea Herald, a Samsung official said:

Due to quarantine, there are problems with staff transportation and logistics; Therefore, setting up this operation was inevitable. After the quarantine is lifted, the production process in this factory will return to normal.

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The Xian plant is the only Samsung chip factory outside of South Korea that has been operating since 2014. It is worth mentioning that about 30% of the NAND flash chips of this company are produced in the mentioned factory.

Meanwhile, Samsung’s electric car battery factory, SDI, in China does not appear to have been affected by quarantine; According to one of the officials of this company, the working condition of this factory is normal.

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