South Korean electronic manufacturer Samsung Display Co plans to invest $1.8 billion for a factory this year in northern Vietnam to produce OLED displays for automobiles and technology equipment, the Southeast Asian country said on Sunday.
The new facility for manufacturing organic light-emitting diode (OLED) displays will be situated in the Yen Phong industrial park in Bac Ninh province, east of Hanoi, and in proximity to an existing Samsung electronics plant. This information was shared in a statement from the government following a meeting between Prime Minister Pham Minh Chinh and Choi Joo Ho, the General Director of Samsung Vietnam.
Bac Ninh authorities and Samsung Display on Sunday also signed a memorandum of understanding of the project, local media reported, adding the investment would raise Samsung's total investment in Bac Ninh to $8.3 billion from the current $6.5 billion.
Vietnam has over the last decade emerged as one of the most attractive production hubs for electronics companies.
According to Choi, Samsung has established six manufacturing plants, one research and development center, and one sales entity in Vietnam, with a cumulative investment of $22.4 billion.
By Sept. 13, the Samsung share price had fallen by 26.4%, from 87,600 won to 64,400 won. This rate of decline was more than double the 10.9% slide in the KOSPI over the same period. Samsung Electronics’ market capitalization has dropped by more than 100 trillion won in just over a month, a sharp decline compared to the six months it took to gain the same amount earlier this year. SK Hynix also saw its market cap fall by more than 30 trillion won during the same period.
As of Sept. 20, Samsung Electronics’ market cap stood at 366 trillion won, down from 478 trillion won on Aug. 16—a loss of 102 trillion won over 23 trading days, according to the Korea Exchange. Samsung’s share of the KOSPI index shrank to 17.78%, its lowest level since September 2022.
By contrast, it took Samsung Electronics 117 trading days, from Jan. 17 to July 9, to increase its market cap by 100 trillion won, reaching a peak of 524 trillion won.
As a factor in this recent decline of Samsung’s earning, analysts have pointed to predictions that Samsung Electronics’ third-quarter performance would be worse than expected. This came after improved semiconductor performance led to an “earning surprise” in second-quarter operation profits, which were provisionally calculated at 10.4 trillion won — an increase of 1,452.2% compared with the same period in 2023.
Risk Warning: this article represents only the author’s views and is for reference only. It does not constitute investment advice or financial guidance, nor does it represent the stance of the Markets.com platform.When considering shares, indices, forex (foreign exchange) and commodities for trading and price predictions, remember that trading CFDs involves a significant degree of risk and could result in capital loss.Past performance is not indicative of any future results. This information is provided for informative purposes only and should not be construed to be investment advice. Trading cryptocurrency CFDs and spread bets is restricted for all UK retail clients.
KLAR Stock News: Klarna, the Swedish fintech company widely recognized for its buy now, pay later (BNPL) services, has announced its intention to raise up to $1.27 billion through an IPO in the United States.
Asia stock market: The Asian stock market has recently witnessed notable movements, particularly with the Hang Seng Index experiencing a significant jump and BABA stock seeing a remarkable surge in its stock price.
Key economic releases are due in the first week of September 2025. On Monday, 1 September at 01:45 GMT, the Caixin Manufacturing PMI for August is expected at 50, up from 49.5 in July.
set cookie
