Vietnam Encourages Investment in Hi-Tech and Semiconductor Industries
Hanoi, The Gulf Observer: Prime Minister Phạm Minh Chính of Vietnam has extended a warm welcome to investments in hi-tech and semiconductor industries, emphasizing the provision of suitable mechanisms, incentives, and modern infrastructure to support such endeavors.
Prime Minister Chính made these remarks during a reception held in Hanoi on Wednesday for Karthik Rammohan, Group Vice President of Global Operations at Lam Research, a leading US semiconductor manufacturing equipment provider, and representatives of Seojin Company from the Republic of Korea. The meeting aimed to discuss collaboration in semiconductor chip production within Vietnam.
Lam Research, headquartered in California, reported a revenue of US$19 billion in 2022 and employed over 18,700 individuals as of March 2023. Rammohan conveyed Lam Research’s intention to expand operations and diversify its supply chain in Asia. In Vietnam, the company plans to collaborate with Seojin, which already has factories in northern provinces of Bắc Ninh and Bắc Giang, to develop factories and establish a supply chain, with an initial investment of $1-2 billion. Following this initial phase, Lam Research may consider further direct investments or expansion of operations in Vietnam.
Rammohan expressed interest in Vietnam’s investment promotion policies and programs aimed at supporting the development of a domestic supply chain ecosystem for the semiconductor industry.
Prime Minister Chính underscored science, technology, and innovation as crucial areas of cooperation within Vietnam’s comprehensive strategic partnerships with both the US and the Republic of Korea. He highlighted Vietnam’s efforts to train a workforce of 50,000-100,000 engineers by 2030 to meet the demands of enterprises.
The Prime Minister noted the presence of major tech players such as Samsung, Intel, and Foxconn in Vietnam, along with the ongoing exploration of opportunities and investments by numerous other leading global corporations.
In the spirit of mutual development, Prime Minister Chính encouraged both companies to focus on research and development (R&D) activities and technology transfer, thereby contributing to the development of a robust semiconductor ecosystem in Vietnam.
He called for continued close collaboration between the companies and relevant Vietnamese authorities and localities to ensure a smooth and lawful investment process.
The Vietnamese government remains committed to fostering an environment conducive to innovation, technology advancement, and sustainable economic growth, welcoming collaborations with international partners in various sectors, including the semiconductor industry.
