S.Korea’s Samsung pledges to boost investment in Vietnam: executive

South Korean conglomerate Samsung Electronics will expand investment in Vietnam to raise its total investment capital in the country by US$3.3 billion to $21.5 billion by this year-end, Samsung Vietnam Complex general director Choi Joo Ho has announced.

 

Choi was speaking in a recent interview with Tuoi Tre (Youth) newspaper ahead of the Vietnam Entrepreneurs’ Day (October 13), in which he affirmed that Samsung’s increase in investment in Vietnam demonstrates its commitment to a long-term and continuous investment strategy in the country.

The commitment conveys a message that the group continues to put its trust in Vietnam’s investment environment and thereby maintains its investment policy in the Southeast Asian nation, Choi stated.

Despite numerous difficulties caused by the COVID-19 pandemic that hit Vietnam in early 2020, the group has overcome all business obstacles to maintain and expand its investment in the country, Choi said.

Accordingly, the general director said, Samsung will raise its accumulated capital in Vietnam to $21.5 billion by the end of 2022 compared to $18.2 billion by late 2021, which means $3.3 billion will be channeled additionally into the country within this year.

Among the total additional investment is $1.2 billion that will be injected into Samsung Electro-Mechanics Vietnam Co. Ltd., a unit under Samsung Vietnam Complex in northern Thai Nguyen Province, which is proceeding with manufacturing flip-chip ball grid arrays, an important accessory for semiconductors.

All preparations for manufacturing are expected to be completed this month and the first products will likely be launched in July 2023, the general director elaborated.

Regarding the progress of a $220-million project to build Samsung’s research and development (R&D) center in Hanoi, Choi said the group has completed 90 percent of the construction works and the project will be completed by the end of this year.

The new R&D center will focus not only on new product development but also on promotion of application of artificial intelligence (AI), 5G networks, and other advanced technologies.

Currently, South Korea is proceeding with activities to widely promote its hosting the Busan 2030 World Expo with the theme of 'Transforming Our World, Navigating Toward a Better Future' in Busan City from May to October 2030.

Choi said he hoped Vietnam would pay attention to this event as it will open a good opportunity for both South Korean and Vietnamese enterprises to promote their hi-tech products to the world.

On August 5, Samsung Group CEO Roh Tae Moon also confirmed to Vietnamese Prime Minister Pham Minh Chinh at their meeting in Hanoi that the conglomerate would additionally invest $3.3 billion in Vietnam this year.

Samsung currently has eight facilities in Vietnam, including six manufacturing plants, one R&D center, and one sales entity.

South Korea is now the largest foreign investor in Vietnam, with 9,383 active projects with a total capital of more than $79.8 billion recorded by late August 2022, according to the Vietnamese Ministry of Planning and Investment.

These projects, which belong to 19 economic sectors, are operating in 59 out of the country’s 63 provinces and cities.

tuoitrenews

Symbol Lookup

Close

Close