June 20, 2016 / 12:21 AM / 3 years ago

UPDATE 1-Samsung Elec says minimal impact from China plant power disruption

* China memory chip plant experienced power disruption -Samsung

* Samsung says normal operations will resume in few days

* Incident at China plant will not have material impact -analyst (Adds comments from Samsung, analyst and background)

SEOUL, June 20 (Reuters) - Tech giant Samsung Electronics Co Ltd said a power supply disruption at its China memory chip plant will have minimal market impact, with full-scale operations expected to resume in a few days.

Samsung, the world’s No. 1 memory chip maker, said production at the plant in Xian that makes 3D NAND memory chips was disrupted by a power outage on June 18.

The chips have helped Samsung assume a dominant position in higher-margin products such as solid-state hard drives for computers and servers. The company said less than 10,000 wafers were affected by the disruption.

“We expect normal operation to resume at full scale in a few days,” Samsung said in a statement.

“The effect on the market will be insignificant.”

Mirae Asset Daewoo Securities brokerage said in a report the incident would not have a material impact on Samsung’s business, estimating the worst-case scenario was a loss of up to 20 billion won ($17.10 million). ($1 = 1,169.4600 won) (Reporting by Se Young Lee; Editing by Richard Pullin and Stephen Coates)

0 : 0
  • narrow-browser-and-phone
  • medium-browser-and-portrait-tablet
  • landscape-tablet
  • medium-wide-browser
  • wide-browser-and-larger
  • medium-browser-and-landscape-tablet
  • medium-wide-browser-and-larger
  • above-phone
  • portrait-tablet-and-above
  • above-portrait-tablet
  • landscape-tablet-and-above
  • landscape-tablet-and-medium-wide-browser
  • portrait-tablet-and-below
  • landscape-tablet-and-below