Vietnam's Semiconductor Sector Expands Amid Shifting Global Tensions

Vietnam is attracting significant foreign investment to boost its semiconductor packaging capacity as companies seek alternatives to China.

Vietnam is set to increase its share of the global chip assembly, testing, and packaging (ATP) market from 1% in 2022 to 8-9% by 2032.
South Korean company Hana Micron is investing approximately $930 million to expand its packaging operations in Vietnam, responding to client requests to move production from China.
U.S. company Amkor Technology is building its most extensive facility in Vietnam, with some equipment reportedly transferred from China, as part of a $1.6 billion investment.
Domestic Vietnamese companies like FPT and Sovico Group are also investing in the semiconductor sector, with plans for new testing facilities and ATP facilities.
Vietnam aims to establish its first semiconductor foundry by 2030, with state-owned Viettel leading the effort to enhance the country's front-end chipmaking capabilities.