Samsung Electronics is facing supply chain challenges due to new US tariffs targeting several Asian countries.

The smartphone division is likely to be most affected, with up to 46% price increases possible on Galaxy smartphones in the US. This is because 50% are made in Vietnam, 30% in India, and the rest in Brazil, Korea, and Indonesia.

The tariffs include 46% on Vietnam, 26% on India, 25% on Korea, and 32% on Indonesia.

There are also concerns over a possible tariff exemption for Apple, which could give it a competitive edge.

To address these issues, Samsung may shift more production to Brazil, which faces only a 10% tariff, and redirect Vietnamese output to other markets.

Its home appliance division is reviewing production as well, with a focus on increasing output in Mexico due to zero tariffs under the United States–Mexico–Canada Agreement (USMCA).

While semiconductors are not directly impacted yet, a separate 25% tariff on chips made outside the US has been threatened. If implemented, it could raise costs for chips exported from Korea to Taiwan for assembly.

Recent Samsung developments