Samsung Electronics announced plans to cut production at a smartphone manufacturing plant in China, Reuters reported.
Samsung, the number one smartphone brand in the world, has 1 percent share in China, the leading smartphone market.

Samsung on Wednesday said it aims to cut the output at the phone factory in the southern city of Huizhou. Six months ago, Samsung said it would close its other handset plant in China, in the northeastern city of Tianjin to enhance business efficiency.

Samsung, the world’s biggest smartphone maker, has seen its share of China’s market shrink from about 20 percent in 2013, showed data from Strategy Analytics.

In the three months of 2019, Samsung’s smartphone sales volume in China rose 40 percent versus the previous three months, helped strong promotion of premium models and cheaper mass-market handsets, showed an April report from Counterpoint Research.

Samsung’s Wednesday statement followed a report by financial magazine Caixin saying the South Korean firm had offered voluntary redundancy for some employees at the Huizhou plant.

A spokesman in China told Reuters there would be some adjustment to production volume and staff based on the market situation.