Vietnam has just issued the Semiconductor Industry Development Strategy and approved the Semiconductor Industry Human Resource Development Program to 2030, with a vision to 2050 officially.

Production line at Hana Micron Vina Co., Ltd in Van Trung Industrial Park.

Vietnam’s goal and steps in developing semiconductor industry are opportunities for Bac Giang to develop this field. In recent years, Bac Giang has gradually emerged as a new industrial center in the Northern Midlands and Mountainous region. Bac Giang will soon become a semiconductor industry hub in near future thanks to many factors.

Firstly, the geographical location helps Bac Giang easily connect with key economic zones, border gates, airports and seaports. For that reason, the Prime Minister approved the Northern Midlands and Mountainous Region Planning for the period 2021 - 2030, with a vision to 2050, identifying to turn Bac Giang into a semiconductor and supporting industry manufacturing center.

Secondly, Bac Giang has focused on allocating resources to invest in transport infrastructure, creating new development spaces. According to the Provincial Planning, by 2030, Bac Giang will have 29 industrial parks, 63 industrial clusters with an industrial development land area of ​​about 10,000 hectares.

Currently, the power supply, water supply and telecommunications systems are relatively complete, ensuring the attraction of large-scale investment projects.

Thirdly, the province's business investment environment has been significantly improved, with the Provincial Competitiveness Index (PCI) ranking second nationwide in 2022; continuing to be in the top 5 localities nationwide in 2023. The province always accompanies investors, considering the success of investors as the success of the province.

Fourthly, Bac Giang has potential and strengths in human resources, ensuring supply for the semiconductor industry. Currently, the province's population is about 2 million people, over 60% of whom are at working age.

The Provincial People's Committee issued a plan to train human resources for semiconductor and artificial intelligence (AI) industries in the province by 2030.

The plan aims to support training for 3,000 teachers and students to study at the undergraduate and postgraduate levels in fields and professions serving the semiconductor and AI industries domestically and abroad; train 3,500 college-level workers, 2,500 of whom study fields and professions serving the semiconductor industry and 1,000 study fields and professions in the fields of information technology, AI among others.

Fifthly, Bac Giang has the premise to develop the semiconductor industry. So far, the province has attracted 3 FDI investors in semiconductor manufacturing, including: Hana Micron Vina Co., Ltd (invested 643 million USD); Si Flex Vietnam Co., Ltd (invested 299 million USD) and Synergie Cad Vietnam Co., Ltd (invested 21.2 million USD).

In 2023, the total revenue from semiconductor manufacturing of all 3 above mentioned companies reached nearly 18 trillion VND. These are the premises for Bac Giang to continue attracting "giants" in semiconductor manufacturing to invest in the province.

Amid several opportunities to participate in the world's semiconductor production chain, Bac Giang needs to take appropriate steps. However, the province must be urgent and drastic also.

Based on Vietnam's semiconductor industry development strategy and available potential advantages, Bac Giang needs to determine a specific plan for semiconductor industry development in the province.

In the 3 stages of design, manufacturing, packaging and testing, it is necessary to choose a stage that is suitable to the province's capabilities. Perhaps, in the period from now to 2030, Bac Giang should focus on attracting enterprises to package and test semiconductor products as well as flexibly implement the Central Government's semiconductor industry development policies (when issued), especially preferential policies and suitable specific mechanisms.

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PM calls on US firms to invest in semiconductor, AI, cloud computing

Prime Minister Pham Minh Chinh hosted a reception in Hanoi on December 10 for a delegation of the US Semiconductor Industry Association (SIA) led by its Chairman John Neuffer.

Vietnam sees NVIDIA leading partner in semiconductor, AI: Party leader

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Vietnam's readiness to receive semiconductor investment

Vietnam’s goal is not only to participate in the global value chain but also to build an advanced and attractive semiconductor industry ecosystem in the region and the world, which will help the country achieve self-reliance and sustainable development in this field. Currently, Vietnam has met the necessary conditions to be ready to welcome and cooperate with enterprises and investors from all over the world in the semiconductor industry.