Taiwan SpaceX supplier Universal Microwave Technology to double Vietnam investment

Taiwan-based Universal Microwave Technology, a supplier for billionaire Elon Musk’s SpaceX, has said that it will increase its investment in Vietnam to a maximum $12 million.

In a filing last week with the Taiwan Stock Exchange (TWSE), the company said the investment increase, done in stages, will increase the charted capital of Universal Microwave Technology (Vietnam) Co., Ltd.

The additional investment aimed to meet the overall operational development needs of the company, including the establishment of additional overseas production facilities to enhance global flexibility and competitiveness in its strategic positioning, the filing said.

In March this year, Universal Microwave Technology (Vietnam) Co., Ltd. received an investment registration certificate from the northern province of Vinh Phuc for a $5-million factory covering 3,360 square meters at the Thang Long Vinh Phuc Industrial Park.

The plant will have an annual capacity of 48,000 metal components for satellites, equivalent to 9.6 tons; and 7,200 5G backhaul items, or 2.4 tons.

The firm aims to install equipment and conduct trial production in October-November 2024 and start official production from December 2024.

In September, Tim Hughes, senior vice president for global business and government affairs at SpaceX, told Prime Minister Pham Minh Chinh that his company was ready to invest and provide its Starlink satellite internet services in Vietnam.

Praising Vietnam’s business climate, Hughes suggested that Vietnam prepares necessary infrastructure and conditions to ensure that the project will be highly effective and help Vietnam expand its Internet coverage to 100% of the population.

Later that month, Hughes told Party chief and then State President To Lam that SpaceX planned to invest up to $1.5 billion in Vietnam, facilitating the nation’s digital growth.

In reply, Lam, now Party chief, informed the executive that the Vietnamese government was considering SpaceX’s proposal. He suggested that the group works closely with relevant Vietnamese agencies and partners to proceed with the investment.