Promoting the development of the semiconductor industry.

Việt Nam•30/10/2023

Here, Minister of Planning and Investment Nguyen Chi Dung stated that Vietnam identifies the development of high technology, especially the semiconductor industry, as one of the breakthrough areas for development and an opportunity for Vietnamese businesses to participate more deeply in the global value chain. In the near future, Vietnam will become a reliable partner and an important link in the global semiconductor manufacturing supply chain.

Semiconductor circuit board manufacturing at UMC Electronics Vietnam Co., Ltd. in Tan Truong Industrial Park, Cam Giang District, Hai Duong Province.

Great determination

During the conference, international delegates agreed that Vietnam possesses all the necessary conditions and factors for developing the semiconductor industry, from a stable political system and favorable geographical location to abundant human resources in the field of technology and engineering, and a rapidly developing digital infrastructure. In recent years, the Vietnamese government has paid special attention to promoting investment cooperation and developing the semiconductor industry in Vietnam. The government has assigned the Ministry of Planning and Investment, the Ministry of Information and Communications, and other ministries and agencies to develop action plans and strategies for the development of this industry in Vietnam, and to develop a human resource development plan with the goal of forming a workforce of 50,000 engineers for this industry by 2030.

Minister Nguyen Chi Dung emphasized that Vietnam has many potentials and opportunities to develop the semiconductor industry ecosystem, such as an abundant workforce in engineering and technology fields suitable for the semiconductor industry; reputable research and training institutions in the semiconductor field such as Hanoi National University, Ho Chi Minh City National University, Da Nang University, and Hanoi University of Technology; and large enterprises with resources and willingness to cooperate in developing the semiconductor industry such as Viettel, VNPT, FPT, CMC ... Vietnam has been attracting more and more large semiconductor corporations from the United States, South Korea, Japan, European countries, Taiwan (China)...

According to Minister Nguyen Chi Dung, Vietnam has been developing many attractive investment incentive mechanisms for semiconductor companies and corporations. Semiconductor investment projects, belonging to the high-tech sector, are granted the highest incentives within the framework of Vietnamese law. Vietnam has established the National Innovation Center (NIC) and three high-tech zones in Hoa Lac (Hanoi), Ho Chi Minh City, and Da Nang, with full infrastructure conditions ready to welcome semiconductor investors with highly favorable incentives. The NIC and these high-tech zones will be important bridges to support the development of Vietnam's semiconductor industry ecosystem.

“Vietnam is committed to making positive contributions to the innovation ecosystem of the semiconductor industry worldwide in general and in Vietnam in particular. In the not-too-distant future, we believe Vietnam will become a reliable partner and an important link in the global semiconductor manufacturing supply chain. The Vietnamese government will always stand alongside and support semiconductor organizations and businesses in realizing the vision and development goals of all stakeholders,” Minister Nguyen Chi Dung stated.

Within the framework of the Vietnam Semiconductor Industry Summit, the Vietnam Semiconductor Network was officially launched. The Vietnam Semiconductor Network, once operational, will gradually realize the development orientation of the semiconductor industry in Vietnam, making Vietnam a reliable partner in the regional and global semiconductor ecosystem, enhancing Vietnam's position in the global value chain, and modernizing its economy.

Investment and human resource attraction policies

According to John Neuffer, President of the Semiconductor Industry Association of America, Vietnam has great potential in the semiconductor industry. In terms of human resources, Vietnam has many advantages because Vietnamese workers are very diligent and hardworking. However, the current quality of the workforce is not yet sufficient to serve the microchip industry. Vietnam has great opportunities to develop its semiconductor industry and is increasingly becoming a larger link in the global chip production chain with the presence of major technology corporations such as Intel and Marvell. Vietnam is also making significant efforts to invest in research and development. In the context of the strong development of relations between Vietnam and the United States, the presence and cooperation of US businesses will contribute to helping Vietnam achieve its goals in the semiconductor industry.

Regarding Vietnam's plan to train 50,000 engineers in this field, John Neuffer believes this is a very correct and important decision that needs to be realized as quickly as possible. "This will send a strong signal to the world that Vietnam continues to be open to attracting investment," John Neuffer recommended.

Regarding human resource training for the semiconductor industry, the Director of the Vietnam National University Ho Chi Minh City (VNU-HCM), Vu Hai Quan, stated that the university aims to become a top-tier university in Asia in leading fields, including semiconductors. VNU-HCM's training goal is to train 1,800 highly specialized engineers and 500 master's degree holders in semiconductors by 2030. "We hope the government will soon issue a strategy for developing human resources for the semiconductor industry, and that we will cooperate more with international universities to have high-quality training programs…," Mr. Vu Hai Quan suggested.

According to many experts, Vietnam can pursue three strategic breakthroughs: Continuing to strengthen Vietnam's advantages in semiconductor design and packaging, including promoting the attraction of foreign direct investment, especially from strategic investors playing a crucial role in the global value chain and supply chain; promoting the formation of domestic enterprises capable of developing "Make in Vietnam" electronic and semiconductor products to serve niche domestic markets, gradually moving towards export; and persistently seeking opportunities to participate deeply in semiconductor manufacturing, focusing first on commonly used semiconductor manufacturing technologies to gradually absorb and master semiconductor production technology.

Source