Foreign investors pour billions into Vietnam s semiconductor sector
Existing foreign investors have poured additional billions of dollars into semiconductor testing packaging and advanced materials production to meet the increasing demand for chips in data centres
Foreign investors are pouring billions into Vietnam's semiconductor sector, with Samsung Electro-Mechanics planning a $1.85 billion expansion to meet growing demand from AI servers and high-performance processors. This capital will be used to expand their flip-chip ball grid array (BGA) plant in Vietnam, aiming to complete construction and begin operations by June 2030.
Samsung Electro-Mechanics president Chang Duckhyun highlighted the importance of high-value semiconductor substrates in determining performance and supply chain stability in these markets. LG Innotek is also investing $1 billion in Haiphong city, marking its first semiconductor packaging substrate manufacturing facility outside of South Korea.
The plant will specialize in producing various semiconductor substrates and aims to increase revenue from its packaging solutions business to almost $2 billion by 2030. These investments come as the AI and high-performance computing markets have grown rapidly, leading to an increased demand for semiconductor substrates. The National Statistics Office reported a 93.7% increase in import turnover of electronics, computers, and components in September alone, with total electronics imports for the first nine months of the year reaching $197 billion.
In response to this growth, Vietnam is developing a list of around 20 specialized semiconductor chips for priority state procurement, positioning specialized chips as a key component of efforts to build domestic semiconductor capabilities and accelerate commercialization.
Written by urgent.news from Vietnam Investment Review's reporting — not their text. Machine-written — may contain errors; check the original before relying on it.
