American giant chipmaker Intel has plans to enlarge business and investment in Vietnam, Intel CEO Patrick Gelsinger said Friday.
“Vietnam is an attractive destination for foreign investors as this is a dynamic economy and a promising market,” Gelsinger told Prime Minister Pham Minh Chinh in their meeting in Hanoi.
Intel's expansion in Vietnam in the coming period would feature environmentally friendly, high technology and close cooperation with Vietnamese enterprises, he added.
The giant started to invest in Vietnam in 2006, building Intel Products Vietnam (IPV) in Ho Chi Minh City as its single largest assembly and test plant within the major’s assembly and test network globally. With a total investment of $1.5 billion to date, it is the largest U.S. high-tech investment in Vietnam.
Gelsinger, during his talks with PM Chinh, appreciated the Vietnamese government's efforts in creating favorable conditions for foreign investors, particularly the support for Intel to maintain production amid the pandemic.
Chinh suggested Intel build a research center in Vietnam and assist the nation in building up a startup and innovation ecosystem and high-quality workforce.
Since operations commenced in October 2010, Intel Vietnam has created over 5,000 jobs for highly skilled and diverse talents in the Southeast Asian nation.
In 2021, IPV general manager Kim Huat Ooi said that as of the end of 2020, his firm had shipped more than 2 billion products to customers worldwide. The 2010-2020 period’s accumulated export value was over $50 billion.
In terms of Vietnam’s taking part in the global tech supply chain, Intel marked the first key milestone with its 2006 IPV announcement, followed by Korean giant Samsung, which now makes about 60% of its smartphones in Vietnam.
The list also includes Korea’s LG, several of Apple suppliers like Taiwanese giant Foxconn, Taiwan-based Pegatron and Wistron, Taiwanese semiconductor manufacturer ASE Technology, Chinese electronics components maker Goertek Inc., and Luxshare Precision Industry.