Vietnam’s Electronics and Semiconductor Industry Attract Global Corporations

Electronics and semiconductor industry is attracting significant interest from major foreign investors into Vietnam – the Vietnamese Prime Minister stated at a forum with the startup and innovation community organized by the World Economic Forum (WEF).

Potential of vietnam’s electronics and semiconductor industry

In fact, the Prime Minister mentioned that several major global corporations are currently investing in semiconductor manufacturing in Vietnam, such as Intel, Samsung, and Synopsys. Additionally, top global corporations like Google, Apple, Meta, and Nvidia (companies with market capitalizations in the trillions of dollars) are also exploring investment opportunities in this sector in Vietnam. 

The semiconductor market in Vietnam is expected to increase by 1.65 billion USD by 2025, with a growth rate of approximately 6.5% per year (according to research firm Technavio).

At the forum, Mr. Sebastian Buckup, Member of the WEF Executive Committee, Director of WEF Networks and Partnerships, noted that after nearly 40 years of innovation, Vietnam’s economy has made remarkable progress with innovation being considered the main driving force. Innovation not only helps address regional and global challenges but also promotes sustainable development for each country and the world as a whole. Prime Minister Pham Minh Chinh emphasized that innovation is one of the main drivers to stimulate economic growth in every country, including Vietnam.

Vietnam’s preparation for the wave of investment

To attract major corporations, Vietnam has taken numerous practical and effective actions in recent years to promote innovation, such as: developing priority policies to foster innovation and entrepreneurship; creating strategies and development programs focused on the digital economy, green economy, circular economy, sharing economy, and knowledge economy, especially in high value-added sectors like big data, cloud computing, artificial intelligence (AI), semiconductors, and hydrogen. 

Additionally, Vietnam has focused on developing infrastructure, including digital infrastructure, electricity, water, transportation, and social infrastructure like education and healthcare. The country has also put great importance on high-quality human resources and identified internal resources (people, natural resources, and cultural and historical traditions) as fundamental, strategic, long-term, and decisive; external resources (including financial, technological, management, and training resources) as important factors.

Prime Minister Pham Minh Chinh emphasized that Vietnam is leveraging public investment to lead private investment and mobilize all societal resources to drive innovation and entrepreneurship. 

At the forum, regarding initiatives to support startups and innovation activities in Vietnam, Prime Minister Pham Minh Chinh stated that Vietnam is implementing five groups of solutions comprehensively to improve institutions, support policies, and promote innovation and entrepreneurship. This includes implementing national programs and projects to support the innovation startup ecosystem, supporting students and pupils in entrepreneurship, digital transformation support programs for businesses, and the Vietnam Innovation Challenge program.

Furthermore, Vietnam continues to improve comprehensive infrastructure and technical systems to support innovation; train innovative human resources (including the development and implementation of a human resources development plan for the semiconductor industry by 2030). The country is also mobilizing international resources to support innovation.

Vietnam welcomes foreign investment 

At the forum, enterprises posed many questions to the Prime Minister regarding the role of foreign startups in the period of Vietnam’s  transition to a knowledge-based economy.

The Prime Minister acknowledged that foreign startups are a driving force that supports and promotes innovation development. This is reflected in three main roles: technology and knowledge transfer; fostering competition, innovation, and international cooperation; and facilitating the transition to a knowledge-based economy

The Prime Minister stated that Vietnam always welcomes, encourages, and facilitates foreign enterprises to invest in all sectors—agriculture, industry, and services—in a green, clean, and sustainable manner.

Source: Redsunland
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