HCMC focuses on chip industry development

Ho Chi Minh City’s Saigon Hi-Tech Park (SHTP) plans to focus on developing the semiconductor chip industry as its specialty.

Much room for development

Vietnam’s stable economic and political context has opened up opportunities to attract foreign investment by world-leading semiconductor corporations for the research, application and development of new technologies, such as AI, IoT, and Big Data.

HCMC focuses on chip industry development

More policies are needed to develop the microchip industry

According to the Ministry of Industry and Trade, two domestic enterprises with about 200 employees are currently engaged in the chip design stage, while 30 foreign companies have invested in Vietnam, employing some 5,000 engineers and other staff to handle all aspects in the design, assembly and testing stages. Most (85 percent) are located in Ho Chi Minh City (HCMC), Hanoi (eight percent) and Da Nang (seven percent).

SHTP Chair Dr. Nguyen Anh Thi said Vietnam can take advantage of the immense semiconductor industry opportunity to participate in the global value chain, thereby creating a premise for the development of the domestic chip industry. “Developing the semiconductor chip industry will be a distinction of the SHTP,” Thi said.

More mechanisms and policies

FPT Corporation Chair Truong Gia Binh, a major SHTP investor, said Vietnam is capable of producing chips, but needs to make further efforts to enter the more advanced stages of this industry. Binh said he foresees Vietnam, and HCMC in particular, as a hub gathering leading experts in areas of artificial intelligence and big data.

HCMC focuses on chip industry development

The Saigon Hi-Tech Park will focus on developing the semiconductor chip industry

Regarding plans to develop the microchip industry, HCMC People’s Committee Chair Phan Van Mai affirmed that the city will adopt mechanisms and policies to build the foundation of the semiconductor chip industry by applying modern technologies and services. In addition, the city will focus on attracting high-quality human resources at home and abroad, especially the participation of overseas Vietnamese experts in domestic projects.

“The HCMC’s authorities will accelerate procedures for investors and the business community so that they can implement their projects as soon as possible,” Mai emphasized, adding that city will strengthen cooperation with domestic and foreign units to facilitate the microchip ecosystem development in the city.

“By 2030, HCMC hopes to have effective investments and operation of a chip factory managed by the city, in order to develop the electronic microchip industry into a high-growth economic sector that provides equipment and solutions for building smart cities. The microchip industry will also be the city’s major field in attracting foreign investment in terms of capital, high-quality human resources and modern technologies,” Mai said.

VietNam Economic News

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