TV chief downplays US tariff concerns, citing diversified manufacturing network

Yong Seok-woo, president and head of the visual display business at Samsung Electronics, speaks at a press conference held in Seoul on Monday. (Samsung Electronics)
Yong Seok-woo, president and head of the visual display business at Samsung Electronics, speaks at a press conference held in Seoul on Monday. (Samsung Electronics)

Samsung Electronics announced Monday the launch of what it calls “true” artificial intelligence TVs, almost doubling its AI-powered lineup from 34 to 61 models this year. The company also vowed to outpace archrival LG Electronics in the premium organic light-emitting diode TV segment to become the No. 1 seller in the domestic market.

“Samsung aims to make TVs as more than just a viewing device. With our Vision AI, Samsung TVs will become a ‘companion’ that understands and recognizes users’ needs and offers optimized solutions,” said Yong Seok-woo, president and head of the Visual Display Business at Samsung Electronics, during an unveiling event held in Seoul, dubbed, “Unbox & Discover 2025.”

Samsung has significantly expanded its lineup of AI-powered TVs this year and expects more than half of its TV sales to come from AI-integrated models.

As a latecomer in the OLED TV market, launching its first flagship OLED models in 2022, Samsung has now set a goal to expand its share in the domestic premium OLED segment and surpass LG Electronics.

“Samsung entered the OLED market three years ago, and our share has been steadily growing — with around 300,000 units sold in 2023 and 1 million units expected in 2024,” Yong said.

“Despite external economic uncertainties, the premium TV market continues to grow, so we are expanding our OLED lineup this year to include 83-inch models.”

According to market tracker Omdia, LG Electronics led the global OLED TV market last year with a 52.4 percent share by shipment volume. Samsung has been rapidly expanding its global presence, growing from 3.1 percent in 2022 to 23.5 percent in 2023.

Regarding US President Donald Trump’s "reciprocal" tariffs, Yong said the impact on Samsung’s US-bound TV sales would be “limited,” as most products are manufactured in Mexico, which is largely exempt from the tariffs.

“The impact of tariffs on our company is relatively limited compared to others, but we are closely monitoring the situation,” Yong said.

“We operate 10 global production sites and will respond strategically through production allocation.”

While Omdia projects a 2-3 percent decline in global TV shipments this year, Samsung executives said they view the downturn as an opportunity to go on the offensive, particularly against Chinese manufacturers gaining a greater share in the global market.

“While a mild recession is expected, we are expanding our lineup, not shrinking it, and we see this as a chance to counter competitive threats from Chinese brands,” Yong said.

“Chinese players have aggressively targeted the midrange segment, while we have focused on premium and entry-level. Now, we’re expanding offerings in the midrange segment — from QLED to high-end Neo QLED models — to reclaim market share.”

Samsung also pledged to enhance its TV subscription service, which has gained significant traction since its launch in December. According to the company, more than half of its AI-powered TVs are now sold via subscription.

At the event, Samsung unveiled its new TV lineup, including 14 OLED models in six sizes and movable TVs. It also showcased its Vision AI suite, which includes AI-powered features such as Click to Search — providing relevant information with a single click — and real-time subtitle translation for foreign-language programs.

By Jo He-rim (herim@heraldcorp.com)