Samsung may hand budget appliances to Chinese makers as competition bites

Samsung is considering handing production of budget home appliances and consumer electronics to outside manufacturers, according to discussions at its June 16–17 global strategy council. The move would follow a bruising retreat from China — where Samsung TV shipments collapsed from 2.55 million units in 2014 to fewer than 500,000 — and mirrors similar decisions already made by Sony and Panasonic. For anyone who owns or is shopping for a mid-range Samsung fridge, washer, or TV, the brand's mass-market future looks shakier than it did a year ago.

The pressure

Chinese brands now hold 31.8% of the global TV market, per Korea Times, against South Korea's combined 28.5% — a shift that would have seemed unthinkable a decade ago. Samsung still leads globally at roughly 17.9% share, but brands like TCL and Hisense are closing the gap fast, competing on price points Samsung can't profitably match at scale.

The company has already closed its Malaysia factory — open since 1989 — and cut production lines for dishwashers and microwaves, reports The Economy. Samsung also fully exited China's home appliance market in May 2026 after 34 years, where its refrigerator and washing machine share had fallen below 0.5%.

The plan

At the June strategy council, Samsung's Device eXperience (DX) division — which covers smartphones, TVs, and home appliances — discussed outsourcing low-value products to third-party manufacturers while concentrating resources on the premium Bespoke lineup, according to Asia Business Daily (June 17). The Bespoke range, positioned as a design-led, AI-enhanced tier, would become the face of the Samsung appliance brand going forward.

This is the same playbook Sony used when it handed Bravia TV operations to TCL, and Panasonic when it transferred its TV unit to Skyworth. In both cases, the original brand name stayed on the box while manufacturing moved to lower-cost Chinese ODM (original design manufacturer) partners.

What it means in stores

For US and UK shoppers, outsourcing could quietly reshape what Samsung products look like at retail. Mid-range Samsung washers and TVs at Best Buy, Currys, or John Lewis might eventually be built by a third party under Samsung's name — similar to how many "house brand" appliances already work. Samsung has not confirmed which ODM partners would take on production, and no timeline has been made public. The company has also not formally announced the full scope of the DX outsourcing plan.

The premium Bespoke AI line — smart fridges with built-in cameras, modular washers — is set to remain fully Samsung-designed and manufactured, at least for now.