US tech giants interested in expanding Vietnam business

Apple, Google, Intel, and Microsoft have shown a bullish mood for doing business with Vietnam, a new manufacturing hub that has become more active in the global supply chain.

Prime Minister Pham Minh Chinh, during his working visit to the U.S., met with top executives of the American tech giants on May 17, local time, to encourage investments from them.

Apple CEO Tim Cook told Chinh that Apple is looking to extend its supply chains to Vietnam and involve more of the country’s firms. Additionally, the CEO is considering increasing domestic suppliers and raising the rate of domestic products used in production lines.

Vietnam has yet to host an Apple plant, but is already home to 31 companies with 160,000 workers producing and assembling parts for Apple products.

Chinh expressed his interest in Apple’s doing more business in the Southeast Asian country. He explained to Cook how Vietnam could become Apple’s model market within Asia, and the giant could also sell more products in the nation.

Cook said he hopes the Vietnamese Government would introduce even more favorable policies to encourage more investments from American tech majors.

The Vietnamese PM, in another meeting with Sandy Gupta, Vice President of Sales, Marketing and Operations at Microsoft Asia Pacific and other Microsoft top executives, congratulated the giant on its recent successes and implementation of a digital transformation program globally, including Vietnam. He added he hopes Microsoft would continue to effectively implement its business programs in the country.

The Microsoft vice president said this century is Asia's century and Vietnam is a big contributor. Microsoft wishes to develop digital skills locally, both in the public and private sectors, and further data science here.

According to Microsoft executives, the company wants to cooperate with Vietnam in digital transformation, cybersecurity and helping the country achieve the goal of reducing gas emissions to zero by 2050, thus helping it build a green, digital economy, and secure sustainable development.

Meanwhile, Intel’s Executive Vice President Keyvan Esfarjani highlighted Vietnam’s significant role in his company's supply chains. He cited Intel Vietnam’s highest quality award in 2021 as an indication of the Ho Chi Minh City-based factory’s excellent human resources.

Intel has invested $1.5 billion in Vietnam since its 2006 inception here, making it the largest U.S. technology investor.

Esfarjani described Vietnam as a potential destination for tech firms to expand their operations, especially when firms like Intel want to diversify their supply chains.

PM Chinh said he hoped the giant chipmaker would invest further in other provinces beyond HCMC.

While the Vietnamese PM was visiting the Google headquarters, Rick Osterloh, senior vice president of devices and services at Google, said the major wanted to make a higher contribution to Vietnam’s economic growth and sustainable digital eco-system.

The PM asked Google to continue supporting his nation in high-tech fields and step up programs that help domestic firms in digital transformation, thereby contributing to the development of digital government, digital economy, and digital society.