Samsung Ramps Foldable Production For US Market Amid Thin Galaxy S25 Edge Sales
It looks like Samsung Electronics is making strategic adjustments to its smartphone production, significantly increasing its June output of foldable phones specifically for the United States market. The boost will see US-destined foldable production jump from an initial 400,000 to 600,000 units, and is reportedly a preemptive measure to mitigate potential tariffs from the US government.
The decision was shared during a recent global strategy meeting—foldable smartphones, being high-value devices, contribute significantly to Samsung’s sales and operating profit, making their smooth export crucial. Despite this surge for the US market, Samsung's overall foldable phone production plan for June has taken a more conservative turn. The revised production target for the Galaxy Z 7 series in June is now 930,000 units, a notable decrease from the earlier projection of 1.34 million units. This revised figure includes 350,000 Z Flip 7, 140,000 Z Flip 7 Lite, and 440,000 Z Fold 7 models. The company now anticipates that July will mark the peak of the Galaxy Z 7 series production, with a substantial reduction expected in August.
Adding to Samsung's strategic gameplan, the recently launched 5.8-millimeter-thick Galaxy S25 Edge has reportedly fallen short of sales expectations. Production for this model saw a sharp decline in June compared to the previous month. Typically, smartphone sales are concentrated within the first three months post-launch, so a significant drop in production just a month after release is concerning. Samsung had planned to replace its under-performing Plus models with Edge variants in the upcoming Galaxy S26 series, but the current sales figures for the S25 Edge could force a reassessment of this strategy.
The decision was shared during a recent global strategy meeting—foldable smartphones, being high-value devices, contribute significantly to Samsung’s sales and operating profit, making their smooth export crucial. Despite this surge for the US market, Samsung's overall foldable phone production plan for June has taken a more conservative turn. The revised production target for the Galaxy Z 7 series in June is now 930,000 units, a notable decrease from the earlier projection of 1.34 million units. This revised figure includes 350,000 Z Flip 7, 140,000 Z Flip 7 Lite, and 440,000 Z Fold 7 models. The company now anticipates that July will mark the peak of the Galaxy Z 7 series production, with a substantial reduction expected in August.
Adding to Samsung's strategic gameplan, the recently launched 5.8-millimeter-thick Galaxy S25 Edge has reportedly fallen short of sales expectations. Production for this model saw a sharp decline in June compared to the previous month. Typically, smartphone sales are concentrated within the first three months post-launch, so a significant drop in production just a month after release is concerning. Samsung had planned to replace its under-performing Plus models with Edge variants in the upcoming Galaxy S26 series, but the current sales figures for the S25 Edge could force a reassessment of this strategy.
In contrast, the standard Galaxy S25 series has maintained sales similar to its predecessor during the same period, with the Ultra model leading the numbers, followed by the standard and then the Plus. Among its mid-to-low-end offerings, the Galaxy A16 continues to perform well.
Tariffs aside, it appears that the broader outlook for the global foldable phone market remains cautious, with several market research firms predicting a contraction this year. Contributing factors to negative growth come from cooling consumer interest, limited market availability, increasingly elevated MSRPs, and arguably compromised performance, such as reduced battery life, durability, less capable cameras, etc.
