Samsung Electronics will stop selling home appliances and televisions in mainland China. The company cited intense competition from domestic brands and declining profit margins for the withdrawal. Aggressive local pricing and rapid technological advances have significantly eroded Samsung's market share.
Samsung will maintain after-sales services for existing customers to comply with local consumer protection laws.
The company is shifting its Chinese strategy to focus exclusively on smartphones and semiconductors. Recent initiatives include the launch of smartphone models and software features tailored for Chinese consumers.
The home appliance factory in Suzhou will remain operational. It will transition into a manufacturing hub for products exported to international markets.