Vietnam Ho Chi Minh Orders Suspension of Factory Operations Including Samsung Electronics Due to COVID-19 Impact

[Asia Economy Reporter Jeong Hyunjin] The Ho Chi Minh authorities in Vietnam have ordered a temporary shutdown of the Samsung Electronics factory due to the impact of COVID-19.

According to Bloomberg on the 13th (local time), Le Vick Loan, Deputy Director of Saigon Hi-Tech Park (SHTP), stated that Ho Chi Minh City instructed Samsung Electronics and other companies with factories in SHTP to halt operations and prepare accommodation facilities for their employees. Samsung Electronics operates a consumer electronics (CE) complex in SHTP, producing TVs and home appliances.

Deputy Director Loan said, "Not only Samsung but all factories were requested to temporarily suspend operations until they submit plans to isolate employees and provide accommodations within the factory." He added, "After reviewing the plans submitted by companies, if the requirements are met, permission to resume factory operations will be granted."

Loan explained that Intel has already been approved to continue operations after partially suspending factory operations and preparing accommodation facilities. Accordingly, all companies within SHTP, including Samsung Electronics, are expected to temporarily close their factories until they submit quarantine plans and prepare accommodations within the factory.

Previously, Vietnamese authorities confined about 150,000 workers within industrial complexes in northern regions such as Bac Ninh and Bac Giang, where Samsung Electronics factories and Apple suppliers are located, to reduce the risk of COVID-19 infection. Most factories complied with the authorities' orders by setting up tents and other accommodations inside the factories.

Vietnam has been responding strongly to curb the rapid spread of COVID-19, including the Delta variant. To prevent the spread of COVID-19, Ho Chi Minh City has implemented strict quarantine measures since the 9th, banning all outings except for purchasing daily necessities for 15 days.

This content was produced with the assistance of AI translation services.