Apple supplier Foxconn to begin production in central Vietnam next year

By Tri Duc
Wed, May 17, 2023 | 3:20 pm GMT+7

Foxconn has joined the trend of Apple suppliers expanding in Vietnam, an emerging manufacturing hub for the global electronics industry, with a new investment of $100 million in Nghe An province.

The Dong Nam Economic Zone Authority in Nghe An recently granted an investment certificate to Foxconn Interconnect Technology Singapore Pte. Ltd. to deploy the project at WHA Industrial Zone 1 in the central province.

Foxconn is set to commence construction of the 48-hectare project in June 2023-June 2024. Between July 2024 and October 2024, the Taiwan-based giant will conduct trial runs, then enter official operation in November 2024, according to the investment certificate.

The entrance to WHA Industrial Zone 1 in Nghe An province, central Vietnam. Photo courtesy of the facility.

The entrance to WHA Industrial Zone 1 in Nghe An province, central Vietnam. Photo courtesy of the facility.

The factory’s annual capacity will include 400 million connecting cables, 94 million wireless chargers, 10 million wireless earphones, 244 million loudspeakers, and 627 million connectors.

Foxconn has obtained a lease with the industrial park for 48 hectares costing more than VND509.5 billion ($21.7 million), according to an exchange filing to the Taiwan Stock Exchange (TWSE).

In February, the tech giant signed a lease for a plot of 50 hectares in Quang Chau Industrial Park in Bac Giang province near Hanoi for around $62.5 million to expand production capacity. At Quang Chau IP, Foxconn had earlier leased 70 hectares for its facilities with registered investment capital of $773 million.

Chinese giant BYD, an Apple Inc. supplier, will invest an additional $183.7 million in its Vietnam electronics manufacturing facility in the northern province of Phu Tho's Phu Ha Industrial Park, local authorities announced last week.

The second phase of investment includes $178.2 million for manufacturing graphic adapters and electronic components with ceramic, glass, and iron components; and $5.5 million for producing batteries for tablets and smartphones. The new investment is set to begin later this month.

In the first phase, BYD's investment totaled $269 million and started operation in August 2022. In December 2021, BYD Vietnam was licensed to build tablets and optical prisms. This February, it received an adjusted license from Phu Tho officials to make chips, modules, 4G and 5G modems, and camera drones.

Also in May, Nam Dinh has granted an investment certificate for Apple supplier Quanta Computer to build a $120 million factory in the northern province, the giant's first in Vietnam and its ninth worldwide.

The plant, located in My Thuan Industrial Park, is set to manufacture 1.3 million laptop and desktop computers in 2024, 2.6 million in 2025, 3.6 million in 2026, four million in 2027, and 4.5 million in 2028. The 48-year project will enjoy incentives, including tax exemptions and lower corporate income tax, land lease and land use fees.

Inventec, a Taiwan-based supplier for Apple, is set to launch a research and development and supply chain complex at the Hanoi Southern Supporting Industrial Park (HANSSIP) in the second quarter of 2024. Inventec chairman He Daishui made the statement at a meeting with Hanoi Mayor Tran Sy Thanh in March. He urged municipal authorities to facilitate the project in terms of administrative procedures, immigration of foreign experts, and use of solar power at the factory.

Compal Electronics, a supplier for Apple, Amazon, and Dell, signed a deal to lease 40 hectares of land in Thai Binh province for its new $260 million investment in Vietnam in December 2022. It plans to put the new plant into official operation in the second quarter of 2024. The facility's annual capacity will include 2.1 million smartwatches, 70,000 cable modems, 100,000 wireless wi-fi routers, 10,000 5G network frequency modules, 1.1 million Internet of Things (IoT) devices, and 1.25 million tablets.

The iPhone is among the most popular smartphones in Vietnam. Vietnam spent $3.5 billion on importing smartphones in 2022, with iPhones accounting for the biggest portion of $1.61 billion, or 46.05% of the total, the Ministry of Industry and Trade reported. Total import expenditure on smartphones rose 10.5% year-on-year, while that of Apple's iPhones surged 30.58%.

However, in terms of market share, as of the end of 2022, Samsung topped the list with 40.4%, according to market researcher International Data Corporation. Other top brands were OPPO and Apple with 21.3% each, Vivo with 6.3%, and Xiaomi with 5.4%.

Comments (0)
  • Read More
Hanoi terminates Vinaxuki auto plant project, repurposes land for commercial complex

Hanoi terminates Vinaxuki auto plant project, repurposes land for commercial complex

A long-stalled automotive manufacturing project by Xuan Kien Auto JSC (Vinaxuki) has been officially terminated by Hanoi authorities, and the reclaimed land in Phuc Thinh commune will be repurposed for a new commercial and service complex.

Industries - Tue, September 16, 2025 | 2:44 pm GMT+7

Central Vietnam province reviews investment proposal for thermal power project after Thai EGATi pullout

Central Vietnam province reviews investment proposal for thermal power project after Thai EGATi pullout

Authorities in the central province of Quang Tri are evaluating a proposal from Power Generation JSC 1 (EVNGENCO 1), a subsidiary of state utility Vietnam Electricity (EVN), to take over the Quang Tri thermal power plant project, following the withdrawal of Thai investor EGATi.

Energy - Tue, September 16, 2025 | 1:44 pm GMT+7

Amata to sell stakes worth $46 mln in Vietnam units to Novaland-tied buyers

Amata to sell stakes worth $46 mln in Vietnam units to Novaland-tied buyers

Amata VN, the Vietnam arm of Thailand’s leading industrial park developer Amata, has approved a plan for its subsidiary Amata City Long Thanh Urban JSC (ACLT) to sell its remaining 51% stakes in two entities to local developer Novaland-linked buyers.

Real Estate - Tue, September 16, 2025 | 12:19 pm GMT+7

Vietnam already meets FTSE's criteria for stock market status upgrade: Finance Minister

Vietnam already meets FTSE's criteria for stock market status upgrade: Finance Minister

Vietnam has fulfilled the criteria for a stock market status upgrade by FTSE Russell through reforms aimed at facilitating foreign investment inflows into its market, said Minister of Finance Nguyen Van Thang.

Economy - Tue, September 16, 2025 | 9:36 am GMT+7

Banks should be allowed to distribute, invest in mutual fund certificates: Vietnam's finance ministry

Banks should be allowed to distribute, invest in mutual fund certificates: Vietnam's finance ministry

The Ministry of Finance is proposing a key reform that would allow commercial banks to invest in and distribute mutual fund certificates, as part of a broader plan to restructure the investor base and foster the development of Vietnam’s fund management industry.

Finance - Tue, September 16, 2025 | 8:00 am GMT+7

E-commerce boom a major driver of Vietnam's packaging paper industry growth

E-commerce boom a major driver of Vietnam's packaging paper industry growth

Vietnam's paper packaging industry is entering a period of strong growth, with an average annual growth rate forecasted at 10% until 2030.

Companies - Mon, September 15, 2025 | 10:20 pm GMT+7

Vietnam needs support from UK in developing international financial center: Deputy PM

Vietnam needs support from UK in developing international financial center: Deputy PM

Permanent Deputy Prime Minister Nguyen Hoa Binh has called on the UK and the City of London to continue supporting and accompanying Vietnam in promoting and introducing its international financial center (IFC).

Finance - Mon, September 15, 2025 | 10:12 pm GMT+7

Vietnam enforces 8% capital adequacy ratio for banks from Sept 15

Vietnam enforces 8% capital adequacy ratio for banks from Sept 15

Commercial banks and foreign bank branches in Vietnam must maintain a minimum capital adequacy ratio (CAR) of 8%, including at least 4.5% in Tier 1 core capital and 6% in Tier 1 capital, starting from September 15.

Banking - Mon, September 15, 2025 | 10:04 pm GMT+7

Tool for wood traceability management debuts in Vietnam

Tool for wood traceability management debuts in Vietnam

The Vn-WoodID application has been officially launched in Vietnam, becoming a key tool contributing to wood traceability.

Companies - Mon, September 15, 2025 | 10:00 pm GMT+7

Sun Group, US Embassy foster aviation-hospitality cooperation

Sun Group, US Embassy foster aviation-hospitality cooperation

Sun Group, in collaboration with the US Embassy in Vietnam, hosted the US – Vietnam Aviation Partnership Roundtable on September 12, bringing together 15 leading American corporations in aviation, technology, and financial services, opening up opportunities to position Phu Quoc as a new aviation and tourism hub in the region.

Companies - Mon, September 15, 2025 | 9:54 pm GMT+7

Vietnam tops Thai giant SCG’s overseas markets with 9% revenue contribution in H1

Vietnam tops Thai giant SCG’s overseas markets with 9% revenue contribution in H1

Vietnam remained the largest overseas market for Thailand’s Siam Cement Group (SCG) in the first half of 2025, contributing 9% of consolidated sales.

Companies - Mon, September 15, 2025 | 8:10 pm GMT+7

Central Vietnam to have new airport Mang Den

Central Vietnam to have new airport Mang Den

Procedures to adjust Vietnam's airport system planning, including the addition of Mang Den Airport in central Vietnam, are being proceeded, according to the Ministry of Construction.

Infrastructure - Mon, September 15, 2025 | 5:16 pm GMT+7

Vietnam's government seeks to position country as 'regulated hub for digital assets in Asia': Dragon Capital

Vietnam's government seeks to position country as 'regulated hub for digital assets in Asia': Dragon Capital

The Vietnamese Government has advanced the regulation of digital assets, with a resolution launching a five-year pilot framework for issuance and trading. This framework signals the Government’s intent to position the country as a regulated hub for digital assets in Asia, which could attract new capital inflows, write Dragon Capital analysts.

Economy - Mon, September 15, 2025 | 2:20 pm GMT+7

Agribank introduces sizable $4.17 bln preferential credit package

Agribank introduces sizable $4.17 bln preferential credit package

Right from the beginning of 2025, Agribank launched a substantial preferential credit package worth VND110 trillion ($4.17 billion) to support individual customers.

Companies - Mon, September 15, 2025 | 1:32 pm GMT+7

'Precious space' in Vietnam's monetary policy

'Precious space' in Vietnam's monetary policy

The Federal Reserve's continued cuts in 2025, with the most recent in September, are considered a valuable policy "space" for the State Bank of Vietnam (SBV) to maintain low interest rates to support growth without having to worry too much about exchange rates.

Economy - Mon, September 15, 2025 | 10:15 am GMT+7

Vietnam’s central bank sells $1.5 bln to stabilize currency: broker MBS

Vietnam’s central bank sells $1.5 bln to stabilize currency: broker MBS

The State Bank of Vietnam (SBV) intervened in the foreign exchange market by selling approximately $1.5 billion via 180-day cancelable forward contracts from August 25-26, in an effort to ease pressure on the Vietnamese dong, according to a recent report by MB Securities (MBS).

Banking - Mon, September 15, 2025 | 8:04 am GMT+7