Samsung Shuts Down its Washing Machine Plant Again

Samsung has temporarily closed its washing machine plant in Newberry County, South Carolina. The plant employs around 1000 people. The South Korean home appliances’ giant took this decision after a number of its workers have tested positive against the Coronavirus.

Every year Samsung’s Newberry County plant in South Carolina in the United States builds a million washing machines, a massive lot that also consists of the Energy Star-certified models. Last week, 2 of the employees at the plant had tested positive after which the plant had to be shut down. All operations were halted.

One more person tested positive among the workers of the plant. The plant was opened again, even then. Now, for the second time, the plant has been closed till April 19. The company stated a few hours earlier that it wanted to keep the operations at its Newberry County plant suspended until April 19.

 The Samsung plant at Newberry is one of prime significance and location and accounts for $ 380 million worth. The washing machine plant was then hastily closed down to protect its employees from contracting the coronavirus, which has managed to kill somewhere around 14,000 people in the United States itself. The South Korean electronics behemoth was forced to close its plants in Brazil, South Korea, Vietnam, and Slovakia. 

Its major factories and plants had to be closed in the US and different countries as well. The company has been witnessing a steep downward slope in terms of demand. There are horrible supply-side disruptions as well. Add to the fact that measures like social distancing ought to be followed. 

There are speculations that the home appliances giant, Samsung, is also thinking about closing its TV plant located in Tijuana, Mexico. The closure, hopefully for a short period, will expectedly take place from the next week. Due to the current lockdown status in Mexico, the company will have to shut down its operations there. In the US alone, there have been more than 14,000 deaths, with around 480,000 people infected to date.

A lot fewer people have been visiting the stores due to the prevailing fear of the spread of the coronavirus. Galaxy S20 sales have been reported to be 50 percent lower on the first day of their sales as compared to the Galaxy S10, which was introduced about a year ago.

The company is also facing the brunt of the huge fallout in the economy, which has encircled states in an abyss of deep shock and contemplation. The demand for goods has declined at a world scale to the level of redundancy. The same goes for supply. On the other hand, the lower number of the workforce and scarcity of raw materials, needed at several stages of production could not be exported from around the world. It has also contributed to the fall.

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