Taiwan electronics firm Tripod acquires $200 mln business in southern Vietnam

Taiwanese electronics manufacturer Tripod Technology said it has basically completed the acquisition of FICT Vietnam Co. Ltd., which had received $200 million in investment from Japanese tech giant Fujitsu.

Fujitsu has invested in FICT Vietnam, headquartered in the southern province of Dong Nai, since 1996. The firm produces printed circuit boards and assembles computer products for the Japanese business. Fujitsu initiated negotiations for the transfer of its Dong Nai project to Tripod Technology earlier this year.

Tripod affirmed it would invest an additional $200 million in the Dong Nai factory, aiming to expand production to deliver goods, especially luxury items, to the European and American markets.

Tripod is among the biggest electronics firms in the world. Its consolidated revenue steadily grew from NT$52.11 billion ($1.7 billion) in 2018 to NT$54.45 billion ($1.78 billion) in 2019, NT$55.55 billion ($1.82 billion) in 2020, NT$62.99 billion ($2.06 billion) in 2021, and NT$65.78 billion ($2.15 billion) in 2022.

The US-China trade war has forced Taiwanese businesses to relocate factories in China to Southeast Asia, a delegation of the Taiwan Electrical and Electronic Manufacturers’ Association (TEEMA) said at a recent working session with Vietnam's telecom giant Viettel. These developments have created an opportunity for Viettel to join the global research and supply chain of semiconductors and electronic components, the mission noted.

Vietnam had attracted 36,881 valid FDI projects with total registered capital of $444.07 billion as of March 20, 2023, according to the Ministry of Planning and Investment. Taiwan (China) is the country's fourth largest investor with 2,943 projects worth $36.89 billion.