Samsung weighing $1B Vietnamese investment

|About: Samsung Electronics Co., Ltd. (SSNLF)|By:, SA News Editor

Samsung (SSNLF, SSNGY) is thinking of investing $1B to build a third electronics plant in Vietnam - likely at a high-tech park in Ho Chi Minh City.

The investment would significantly grow Samsung's footprint in an increasingly popular low-cost manufacturing hub. As it is, Samsung has been shifting production from China to Vietnam on account of rising wages in the former country.

Samsung's efforts to keep costs down come as it deals with toughening low-end Android competition from Chinese OEMs and white-label firms. Low-end competition was arguably the biggest reason Samsung's smartphone share slipped in Q1 following many uninterrupted quarters of share gains.