Due to the ongoing Russia-Ukraine war, Samsung has decided to temporarily suspend the operation of its TV factory in Russia. According to a report by The Elec server, this is the one in Kaluga, near Moscow. However, this step is not being taken to put pressure on Russian citizens or lawmakers. The reason is much simpler.
The company did so because it is facing bottlenecks in the supply of important TV components such as display panels. Many electronics are not allowed to be imported into Russia, and this is also a consequence. Not only Samsung, but also LG, for example, are evaluating the possibility of suspending the operation of their factories present in Russia not only for televisions, but also for home appliances.
Gallery
Samsung's main concern is that if the problematic macroeconomic situation persists for a longer period of time, the company's management strategies will be seriously disrupted. On March 7, the company stopped deliveries and sales of televisions throughout Russia. In addition, it stopped selling phones, chips and other products even before that on March 5. The driving force behind these decisions is the economic sanctions imposed on Russia by the international community.
You could be interested in
Research firm Omida has predicted that tensions between Russia and Ukraine could cut Samsung's TV shipments by at least 10% and up to 50% if the "tension" continues. Of course, the company then plans to compensate for the drop in supplies in this market by focusing more on others.
