Vietnam proposes enhanced semiconductor cooperation with US industry leaders

Speaking on the sidelines of the 13^th WTO Ministerial Conference in the United Arab Emirates in late February, Minister Dien emphasised Vietnam's keen interest in the semiconductor industry and its desire to collaborate with associations and businesses to exchange information and experience in the field, with the goal of integrating deeply into the global semiconductor supply chain.

"To achieve this expectation, Vietnam hopes to receive support from the SIA, connect with markets, technologies, and financial resources, and start cooperation projects with US companies to lay the foundation for policies to promote the development of the semiconductor industry," he said.

Established in 1977, the SIA is a trade association representing the semiconductor industry, one of the leading export sectors of the United States, and a key driver of the country's economic strength, national security, and global competitiveness.

The SIA brings together a network of member companies accounting for up to 99 per cent of the semiconductor industry's revenue in the United States, with two-thirds being foreign semiconductor companies. In recent times, the SIA has been actively advocating for the US to promote cooperation in developing the semiconductor ecosystem in Vietnam.

Meanwhile, Vietnam currently has around 6,000 engineers working in the semiconductor industry, with a target of training 50,000 high-quality engineers by 2030, prioritising chip design engineers.

Vietnam has also been building its domestic electronics industry and attracting an increasing number of large electronics manufacturers, offering a direct market for the semiconductor industry.

Vietnam has established the National Innovation Centre (NIC) and three high-tech parks in Ho Chi Minh City, Hoa Lac, and Danang, ready to welcome semiconductor investors with preferential mechanisms. The NIC and high-tech parks will be important bridges to support the development of Vietnam's semiconductor industry ecosystem.

In December 2023, Prime Minister Pham Minh Chinh met with Neuffer from the SIA and other leaders of US semiconductor companies, such as Intel, Qualcomm, Ampere, and ARM, during their visit to Vietnam.

The Vietnamese PM proposed that SIA promote the US to soon recognise Vietnam's market economy regime and abolish unnecessary technology transfer controls; enhance cooperation in technology transfer, research, production, human resource training, building laboratories, and supporting Vietnamese enterprises to participate in the global semiconductor supply chain of the US; and cooperate in building and perfecting mechanisms to sustainably develop the semiconductor industry.

Neuffer said, "The US is experiencing a shortage of high-quality semiconductor talent, and even during the Covid-19 pandemic, Vietnam was the most attractive destination for our investors in the semiconductor industry and can now play a strategic role in providing semiconductor talent."

Vietnam’s semiconductor challenge and the potential within Amid the current restructuring of supply chains, perhaps no industry more so than the semiconductor industry exemplifies the lucrative opportunities and the complex dynamic between security and business. Having benefited to become a key element in supply chains across a number of industries, Vietnam has announced ambitious plans to do the same in the semiconductor industry.

Vietnam to become crucial link in global semiconductor value chain: Minister Vietnam will become a reliable partner and a crucial link in the global semiconductor value chain in the foreseeable future, Minister of Planning and Investment Nguyen Chi Dung told Vietnam News Agency in a recent interview.