March 21, 2024
HANOI – Việt Nam welcomes and encourages investments in hi-tech and semiconductor industries by providing appropriate mechanisms, incentives and modern infrastructure, said Prime Minister Phạm Minh Chính.
PM Chính made the statement at a reception in Hà Nội on Wednesday for Karthik Rammohan, Group Vice President of Global Operations at Lam Research, one of the leading US semiconductor manufacturing equipment providers, and representatives of the Seojin Company of the Republic of Korea. The two companies are collaborating in semiconductor chip production in Việt Nam.
Lam Research, headquartered in California, recorded revenue of US$19 billion in 2022. As of March 2023, it had employed over 18,700 employees.
Rammohan said Lam Research is looking to expand operations and diversify its supply chain in Asia. In Việt Nam, the company is planning to collaborate with Seojin, which already has factories in northern Bắc Ninh and Bắc Giang provinces, to develop factories and establish a supply chain with an investment of $1-2 billion in the first phase. After the first phase, it will possibly invest directly or expanding its operations in the Southeast Asian country.
He expressed interest in Việt Nam’s investment promotion policies and programmes that could support the development of a domestic supply chain ecosystem for the semiconductor industry.
PM Chính highlighted sci-tech and innovation as important cooperation areas in Việt Nam’s comprehensive strategic partnerships with both the US and the RoK. He pointed to Việt Nam’s efforts in training a workforce of 50,000-100,000 engineers by 2030 to meet the demand of enterprises.
Meanwhile, major tech players such as Samsung, Intel, and Foxconn are already present in Việt Nam, he said, adding that many other leading global corporations are continuing to explore opportunities and investment in the country.
In the spirit of harmonising interests and sharing risks for mutual development, he expected that both companies would focus on research and development (R&D) activities, technology transfer, thus helping to develop a robust semiconductor ecosystem in Việt Nam.
He called for continued close collaboration between the companies and relevant Vietnamese authorities and localities to ensure a smooth and legal investment process.