Vietnam most attractive semiconductor destination for U.S. investors: association leader

Vietnam has become the most attractive destination for U.S. investors in the semiconductor industry and could play a role as a strategic partner in workforce supply, president and CEO of the U.S. Semiconductor Industry Association (SIA) John Neuffer said on Thursday.

Meeting with Vietnamese Prime Minister Pham Minh Chinh in Hanoi, the American guest spoke highly of Vietnam's significant and impressive progress in the semiconductor industry, making it a crucial destination and a key player in the semiconductor supply chain.

Informing the host about the results of his working sessions with relevant Vietnamese agencies, he said U.S. enterprises are eagerly waiting for Vietnam's national semiconductor strategy.

He believed that Vietnam will play an even more crucial role in the global supply chain, quickly seizing emerging opportunities in this field, especially in chip design, which does not require as much investment as manufacturing.

U.S. businesses are ready to strengthen relations, boost investment, and cooperate with Vietnam in the semiconductor industry, especially in training a high-quality workforce, contributing to promoting mutually beneficial relations between the two countries, he added.

For his part, PM Chinh said that in their recently-established comprehensive strategic partnership, Vietnam and the U.S. have agreed to make science-technology and innovation a new important pillar in their relationship.

“Therefore, it is necessary to mobilize resources and brainpower and prioritise certain focal areas for Vietnam, particularly the semiconductor industry in which Vietnam has considerable potential and advantages,” he stressed.

He believed that cooperation in the semiconductor industry will open up numerous opportunities for businesses of both nations to tap their respective advantages and bring economic benefits.

“Vietnam is building a human resources development strategy along with suitable incentives to attract leading foreign semiconductor manufacturers, designers and developers to the country,” the government leader stated.

Currently, Vietnam has around 6,000 engineers working in the semiconductor industry for both domestic and foreign enterprises, Chinh said, adding the country aims to train 50,000 highly-skilled engineers between now and 2030, with a particular focus on those specializing in semiconductor chip design.

Vietnam sends nearly 30,000 students to the U.S. each year, leading Southeast Asian countries and ranking in the top five countries with the highest number of international students in the U.S.

He asked the SIA to join efforts for U.S. authorities to recognize Vietnam's market economy status and remove unnecessary controls in terms of technology transfer, and urged enhanced cooperation in research, production, workforce training, building of laboratories, and support for Vietnamese firms to join the U.S.’s global semiconductor supply chain.

“The association should build laboratories in Vietnam and help Vietnamese businesses to join the U.S. global semiconductor supply chain,” he suggested.

Founded in 1977, the SIA gathers a network of member companies accounting for up to 99% of the semiconductor industry's revenue in the U.S., with two-thirds from foreign enterprises. It has played a proactive role in prompting the U.S. to foster cooperation efforts in developing Vietnam's semiconductor ecosystem.