Coss Posted May 21, 2015 Report Share Posted May 21, 2015 The biggest television manufacturer in the world, South Korea’s Samsung Electronics, said today that it would cease production of televisions in Thailand this quarter, in order to streamline its global manufacturing footprint. The somewhat unexpected move comes after last year’s announcement of more than $560 million investments to build consumer goods in neighbouring Vietnam, mainly to produce televisions, as part of the company’s efforts to boost output across segments such as smartphones and displays in the country which is less costly than Thailand. A Samsung spokesperson has not said if the company will move television production from Thailand to Vietnam. South Korea’s LG Electronics Inc, which is second in the global TV market, will also soon move its TV production from Thailand to Vietnam, thanks to cheaper labour costs and closer proximity to Chinese-based suppliers. So, next time you go into one of the huge electronics shops and marvel at all the Samsung and LG widescreen, curved and super-thin televisions, rather than being made in Thailand they’ll have probably been assembled in Vietnam… It remains to be seen whether other industry giants will move their electronics production to neighbouring Asian countries, but this news is surely disappointing for Thailand’s manufacturing industry. http://tech.thaivisa.com/samsung-tv-thailand/10967/?utm_source=newsletter-20150521-1439&utm_medium=email&utm_campaign=news Link to comment Share on other sites More sharing options...
Coss Posted May 21, 2015 Author Report Share Posted May 21, 2015 Cue: announcement from Thai Govt Official, proclaiming massive increase in number of investors in manufacturing and amounts of investment, in Thailand. Link to comment Share on other sites More sharing options...
Mekong Posted May 31, 2015 Report Share Posted May 31, 2015 I had a road trip yesterday up to Hai Phong. It is not just Samsung, LG, Sony and Canon are also gearing up for production in VN, the frontage of each facility is at least 1,000 Meters each. Vietnam has bought into and taking advantage of ASEAN and the country is booming. If one would have asked me even 5 years ago about VN I would have turned my nose up and thought of it as a backwater of Asia, how wrong I was, VN is the 21st century version of the klondike, a gold rush, admittedly getting ones nose in the trough is difficult to start but once in it is money for old rope. One does have to have a certain mindset to live and work here (i.e. be as mental as me)but it has stopped the bank manager sending me demand notices. Most people have negative thoughts about VN based upon 40 years ago, it may be a communist regime but at least the government is stable which is what investors look for, plus the fact VN people like to drink beer, Homer would love it here. Link to comment Share on other sites More sharing options...
Flashermac Posted June 2, 2015 Report Share Posted June 2, 2015 Link to comment Share on other sites More sharing options...
unit731 Posted June 2, 2015 Report Share Posted June 2, 2015 From the little that I have read: Vietnam is virtually slave labor. On another note. Neighbors home just sold for US $2.2 million. He paid about $900,000 about 5 years ago. 2nd home. Did about $500,000 remodel. He had furniture delivered. Asked me to meet truck as he works in another state. EVERYTHING. Sofa, love seat, bedroom furniture, dining set, assorted chairs, assorted tables, etc. Made in Vietnam. Now, how can they manufacturer a large sofa, etc. Wrap it. Ship it. So inexpensively? What is the wage rate in Vietnam? What is the workday - workweek in Vietnam? Link to comment Share on other sites More sharing options...
Mekong Posted June 2, 2015 Report Share Posted June 2, 2015 Average wage figures are not a good barometer but minimum wage is. As of January 2015 minimum wage was set at 2.15 M VND ($100) for region 4 up to 3.1 M VND ($145) for region 1 (Hanoi, Hai Phong, HCMC). In THB this equates to between 75 to 112 THB / hour. Workweek is 8 hours per day 5 days per week with voluntary overtime. Engineers that I work with earn on average $1,000 per month where as in Thailand it would be $2,000, but in VN on top of Salary there is state housing, state health care and state education up to University level, a few of the guys I work with even studied in Australia and are on a "Tied Contract" for about 10 years to repay the state for the cost of their education. Furthermore the cost of living in VN is a to lower compared to TH, essentials such as Cigarettes are 1/10th of the price, can of beer 25% of cost, fresh meat and veg at the local market less than half the price etc. Link to comment Share on other sites More sharing options...
unit731 Posted June 2, 2015 Report Share Posted June 2, 2015 "Most strikes in Vietnam are focused on the practices of a company rather than the government. More than 100 Vietnam Airlines Corp. pilots called in sick at the start of 2015 amid discontent over salaries. Last May, two people died during anti- Chinese protests at foreign factories. More 1,000 workers at Levi Strauss & Co.'s factory in northern province of Ninh Binh engaged in a three-day strike in November 2013 to demand better working conditions." LINK Link to comment Share on other sites More sharing options...
khunsanuk Posted June 3, 2015 Report Share Posted June 3, 2015 Hi, "In THB this equates to between 75 to 112 THB / hour." I assume you mean per day That rate would equate to double/triple Thai minimum wage. Sanuk! Link to comment Share on other sites More sharing options...
Mekong Posted June 3, 2015 Report Share Posted June 3, 2015 KS Correct Mental arithmetic is not my forte before the first caffeine of the morning has kicked in $100 / Month is about 135 THB / Day (17 THB / Hour) Link to comment Share on other sites More sharing options...
Flashermac Posted June 3, 2015 Report Share Posted June 3, 2015 And the Thai minimum is 300 baht a day, though there are attempts to increase it. Still, prices keep going up here. Link to comment Share on other sites More sharing options...
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