LG To Close Korean Phone Manufacturing Plants - Relying On Cheaper Overseas Factories

LG’s mobile division has seen a tough couple of years – the last few generation of smartphones haven’t been very successful for the company, and consequently the division has reportedly making a loss for 10 straight quarters.

According to Yonhap News Agency, LG is planning to shut down smartphone manufacturing in its domestic Korean Pyeongtaek plant and shifting production over to its existing facilities in Vietnam. Reportedly, the Korean plant was mostly responsible for high-end model production, which would include phones such as the recent V40 series or the new LG G8.

The move, while alleviating LG’s balance sheet and losses, doesn’t seem too promising in terms of the future of the mobile division, as it continues to struggle with delivering competitive products. We’ll be covering the LG G8 in a full review soon.

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