Samsung （SSNLF） was off to a great start this year as its stock price escalated to over$1，500 per share on the back of its most popular flagship device， the Galaxy S7. However， that story suddenly changed due to the recent Note 7 disaster.

The company launched its new flagship device， the Galaxy Note 7， in order to compete against Apples（NASDAQ：AAPL） iPhone 7. Later it was found that Note 7 models were exploding due to some battery issues. To overcome that problem， the company announced a recall and launched a new software upgrade for batteries.

Even after the first recall， the problem was not solved and the company was forced to halt the production of the Note 7. The discontinuation of the device was a major advantage for sales of the iPhone 7， as Apple and Samsung are the two most significant players in the smartphone industry.

After all this， the problems were still not over. After the Note 7 disaster， Samsung announced a recall of 2.8 million top-loading washing machines due to reports of the lids detaching while in use， posing a threat of injury from impact. Both incidents have heavily impacted the companys reputation and Samsung is still trying to remove the stains.

Samsung starts fire-phone Note 7 recall in China

IChinas quality watchdog said Samsung Electronics Co Ltds local unit will recall all190，984 Galaxy Note 7 phones that it has sold in the Chinese mainland. Samsung earlier in the day halted sales of its Galaxy Note 7 smartphones and told owners tostop using them while it investigates reports of fires. The move has raised expectations the techgiant will scrap the flagship device.

The latest recall in China includes the 1，858 earlyreleased Galaxy Note 7 smartphones that the watchdog ordered to recall on Sept 14. Samsung shares plunged over 7 percent after the company announced Note 7s global sales halt and exchange. The smartphone conglomerates shares fell 7.02 percent as of 1：50 pm， the largest intraday drop in a month. The company said on its website that the decision was made after consulting with relevant authorities.

Although a precision investigation is underway over recently reported cases of replacement Note7 phones catching fire， Samsung said it decided on the temporary suspension for the sake of consumer safety. “Consum-ers with either an original Galaxy Note7 or replacement Galaxy Note7 device should power down and stop using the device，” the company said in statement.

It said the company is closely cooperating with partners and mobile carriers for consumers using Note 7 phones， promising to notify the consumers of followup measures， such as exchange for other devices， as early as possible. According to China Daily， in late September， Samsung apologized to Chinese consumers for failing to provide a detailed explanation over the safety of its Galaxy Note 7 smartphones on sale in China after more reports of fires involving the product.

Samsung said in a statement that the smartphones sent for customers in China use batteries from a different supplier， compared with the smartphones recalled at overseas market， and they can ensure the safety of these products that have passed testing and certification and analysis of the independent third-party research institute.

At present， the new Note 7 products that have been swapped at overseas markets are using the same battery supplier to those that are used for the Chinese version， Samsung said.

The company has begun a limited recall of the phones that affects 1，858 smartphones provided in July and August on a trial basis before the phones official launch on Sept 1 in China. Samsung said as these 1，858 phones use the similar batteries with those previously sold in the United States and South Korea， they have potential risks. Samsung said it has recalled most of the testing phones and was communicating with users for the rest phones.

Galaxy Note 7 Recall MayContinue to Year-end

Samsung Taiwan said that a move by the South Korean electronics giant to recall its problematic phablet — the Galaxy Note 7 — could continue until the end of this year. The company also urged local customers to apply for a refund or exchange the faulty product for a different Samsung model as soon as possible.

After the Galaxy Note 7 went on global sale in August， a total of 42，000 units were sold in Taiwan before multiple reports of the flagship smartphone model catching fire or exploding due to an overheated battery appeared around the world. In mid-September， Samsung began to offer local customers a refund， a new Galaxy Note 7 or other Samsung model as part of a global recall program. However， the exchange for new Galaxy Note 7s was suspended in mid-October after several replacement devices also exploded.