Vietnam is determined to develop the semiconductor industry and one of the important things to do is to continue to attract the world's leading businesses to "nest".
Vietnam ready to accelerate development of semiconductor industry
Vietnam is determined to develop the semiconductor industry and one of the important things to do is to continue to attract the world's leading businesses to "nest".
The efforts of ministries, branches and localities have brought positive results in attracting investment and promoting the semiconductor industry. |
Stay ahead of the supply chain shift
An important piece of information shared by Minister of Planning and Investment Nguyen Chi Dung at the First Session of the National Steering Committee for Semiconductor Industry Development, held last weekend in Hanoi, is that many leading technology corporations have plans to shift their supply chains to Vietnam, not only investing in production and business, but also building research and development (R&D) centers in the fields of semiconductors and AI.
The number mentioned by Minister Nguyen Chi Dung is 174 foreign-invested projects in the semiconductor sector, with a total registered capital of nearly 11.6 billion USD. However, this is only the current number of projects from Intel, Amkor, HanaMicron... Information shows that there are many other large projects, possibly worth billions of USD, that will be invested in the near future.
“In the past, we have contacted and worked with many leading technology corporations, such as Qualcomm, Google, Meta, LAM Research, Qorvo, AlChip... They have specific plans to shift their supply chains to Vietnam, develop R&D centers, expand investment, business, and production in Vietnam,” said Minister Nguyen Chi Dung.
NVIDIA is of course a name that Minister Nguyen Chi Dung emphasized. Because the event of NVIDIA signing a strategic cooperation agreement with the Vietnamese Government on the development of an AI R&D Center and an AI Data Center in early December 2024 not only caused a big stir in Vietnam, but also globally.
The cooperation agreement with NVIDIA is an important milestone for the Vietnamese Government's efforts in attracting investment to develop the semiconductor industry. Two working groups have been established to discuss and specify cooperation plans. And the result is not only a strategic agreement with NVIDIA, but more importantly, it has contributed to raising Vietnam's position in the region and the world, as a destination for high technology, semiconductor technology and AI.
Not only the Government or ministries and sectors, but also localities are making great efforts to attract investment in the semiconductor sector, as well as preparing the necessary conditions to anticipate the shift in the supply chain of this backbone industry. Vinh Phuc is an example.
Mr. Tran Duy Dong, Chairman of Vinh Phuc Provincial People's Committee, excitedly said that Vinh Phuc currently has a 300 million USD project in the semiconductor sector and will soon have another 100 million USD project. That 300 million USD project was previously invested by ISCVina, but was recently acquired by SK Group (Korea).
“We have 200 electronics enterprises, with export revenue of about 10 billion USD/year, attracting 66,000 workers. In addition to the newly trained human resources, expected to be about 1,500 people/year, this is a human resource that can be trained to be ready for the semiconductor industry,” said Mr. Tran Duy Dong, adding that Vinh Phuc is also preparing infrastructure, electricity, water, and logistics for the semiconductor industry.
The same goes for Bac Ninh and Da Nang. Bac Ninh is even leading the way with a series of large investors in the technology and semiconductor sectors investing here, such as Amkor, Samsung, IMT Demiconductor…
“We have implemented many specific support policies in attracting investment, such as shortening at least one-third of the licensing time in the semiconductor sector, ensuring infrastructure, especially parallel power lines, to prevent power outages…”, said Mr. Vuong Quoc Tuan, Chairman of the People's Committee of Bac Ninh province.
Ready for the semiconductor industry
The efforts of ministries, sectors and localities have brought about positive results in attracting investment to promote the semiconductor industry. However, these are still only initial steps.
- Minister of Planning and Investment Nguyen Chi Dung
Prime Minister Pham Minh Chinh, speaking at the First Session of the National Steering Committee for Semiconductor Industry Development, emphasized the need to achieve the goals set out in the Development Strategy and Human Resources Development Program for the Semiconductor Industry. “Developing the semiconductor industry is a necessity, an inevitable requirement, a strategic breakthrough and also our key task in the coming time; it is something that needs to be done, must be done and is determined to be done,” the Prime Minister directed.
The Head of Government also emphasized the need to promote cooperation with countries and economies that possess semiconductor manufacturing capacity, attracting the world's leading enterprises, especially those that play a decisive role in the semiconductor industrial ecosystem, to shift supply chains, R&D centers, semiconductor laboratories, etc. to Vietnam.
Although identified as having great potential, it is clear that to promote investment attraction and develop this industry, the story is not simple. Minister of Information and Communications Nguyen Manh Hung mentioned the fact that domestic delivery takes longer than exporting abroad and then importing again, to emphasize the problems that semiconductor industry investors are facing, as well as the problems that Vietnam needs to improve.
Amkor, a semiconductor manufacturer in Bac Ninh, is facing that problem. It takes longer for them to deliver goods from Bac Ninh to Bac Giang than from Amkor Korea to Bac Giang. In Vietnam, domestic deliveries can take 24-48 hours, while imported goods take less than 24 hours.
Not to mention, there are issues that investors worry about, such as stable electricity and water supply systems, complete infrastructure, etc.
Regarding this issue, the Prime Minister has directed that there must be no shortage of electricity and water. At the same time, it is necessary to focus on training human resources and especially speed up the completion and promulgation of regulations on the Investment Support Fund. This task is being assigned to the Ministry of Planning and Investment.
“We also hope that regulations on the Investment Support Fund will be issued soon, creating favorable conditions for attracting investment in the semiconductor industry,” said the Chairman of the Vinh Phuc Provincial People's Committee.
This is something that many investors, especially in the high-tech and semiconductor sectors, have been waiting for for a long time. This regulation will create a big push for Vietnam to attract investment in the semiconductor sector, thereby contributing significantly to the development of the semiconductor industry in Vietnam.
Source: https://baodautu.vn/viet-nam-san-sang-tang-toc-phat-trien-nganh-cong-nghiep-ban-dan-d232708.html
Comment (0)