According to Sputnik news, the chip-semiconductor manufacturing industry and the development of the microchip industry have become a fierce race between major countries. Vietnam started to enter the “semiconductor road” and gradually asserted its position, showing reasonable strategies and calculations.
Specifically, Sputnik (Russia) quoted the comments of two researchers Le Phan and Nguyen Hai Thanh from the Central Institute for Economic Management (CIEM) posted on the East Asia Forum to comment on Vietnam’s progress in the global chip supply chain.
In it, the news mentioned that Samsung Electronics, the world’s largest DRAM supplier in 2021, is preparing to produce grids of transistors in Vietnam, with an investment of 850 million USD to produce semiconductor components at Samsung Electro-Mechanics Vietnam factory.
At the same time, the enterprise also plans to inaugurate a Research and Development Center in Hanoi by the end of 2022 and early 2023, serving not only Vietnam but also Southeast Asia.
According to CIEM economists, this investment by Samsung will make Vietnam one of four countries, along with South Korea, China and the US, producing semiconductors for the world’s largest memory chip maker.
The team emphasized on the East Asia Forum: “The choice of Vietnam over more developed locations speaks to the growing importance of this Southeast Asian country in the global semiconductor supply chain”.
Besides, the newsletter also analyzes to clarify the fact that Vietnam is not a new participant in the semiconductor industry. Since 1979, Vietnam has had its first semiconductor factory, engaged in the production, research and development of semiconductor materials and components for export to Eastern European countries.
Two experts from CIEM explained that Vietnam’s technology and industrial development policy always gives the highest priority to high-tech projects. In which, incentives such as corporate income tax reduction, sales tax exemption and land rent exemption and reduction can be taken into account.
Another advantage of Vietnam compared to neighboring countries in the region is human resources, young technical talents with relatively lower costs. More than 40% of Vietnam’s college and university graduates are majoring in science and engineering.
Vietnam is among the top 10 countries with the most engineering graduates. Vietnam is also proud to be one of the world’s leading open economies, with 15 free trade agreements (FTAs) with other countries, an improving business environment and a relatively stable government with clear socio-economic development plans.