According to the latest report, Samsung plans to increase its OEM smartphone production in China by 20 million units, with a total of 70 million units this year.
Samsung initially planned to manufacture the 20 million phones itself, the mid-range Galaxy A04 and A04s series, the report said. The company initially planned to produce 3.1 million units of the Galaxy A04 series in the third quarter and 8.1 million units in the fourth quarter, for a total of 8.1 million units.
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For the Galaxy A04s series, Samsung plans to produce 5.5 million units in the third quarter and 7 million in the fourth quarter, for a total of 12.5 million units. Moreover, Samsung has planned to produce the Galaxy A03, A03s, A03 core, and A22 5G series through Chinese foundries, with a goal of producing a total of 49 million units.
Samsung, which is facing competition from Apple in the high-end segment and Chinese smartphone makers in the mid-range segment, plans to expand contract production to cut costs, the sources said.
Meanwhile, Apple plans to increase the production of iPhone 13 Pro models by 10 million units in the second quarter due to strong demand. Samsung’s annual shipments of its flagship Galaxy S series have dropped below 30 million units in 2020 and 2021, and the situation is expected to continue with the Galaxy S22 series this year.
