LG Electronics plans to suspend manufacturing of its smartphones in South Korea and shift the production to its existing plant in Vietnam, Yonhap News Agency reported.

LG decided to move its local handset production to Vietnam to help turn around the money-losing smartphones division.

LG’s mobile phone business, which made losses for seven quarters, and intensifying price competition in the global TV market likely weighed on its first quarter earnings.

LG Electronics has production bases for smartphones in South Korea, China, Vietnam, Brazil and India.

LG Electronics’ South Korean factory mainly manufactures high-end models, accounting for 10 percent to 20 percent of the firm’s total smartphone output.