LG Electronics Inc. plans to produce home appliances from its smartphone manufacturing line in Vietnam. (Photo: Yonhap)

Under the plan, the company will complete the transformation within this year while rearranging affected workers.

President of LG Electronics’ Vietnamese arm Jun Hai-jin told Yonhap that exiting smartphone production in Vietnam is part of LG’s plan to restructure its core product portfolio.

The closing of LG’s mobile business will not significantly impact the firm’s production, business activities or employees in Hai Phong, he added.

LG launched the production line in Hai Phong in 2015. The plant has been producing home appliances, smartphones and in-vehicle infotainment components.

The Hai Phong plant employs more than 16,000 workers. LG also hinted that it will make additional investment in the plant in the near future./.VNA

LG Electronics Vietnam says not sell its Hai Phong plant

A representative of LG Electronics Vietnam has hit back at rumours that it would sell its Hai Phong plant, and said the plant operates normally except for the smartphone line.