Vietnam’s Rise in the Semiconductor Value Chain
Amid U.S.-China trade tensions, South Korean semiconductor ATP (assembly, testing, and packaging) company Hana Micron is investing $923.5 million to increase chip packaging capacity in Vietnam. This move is part of a broader trend, as industry leaders Amkor Technology, Intel, and Hana Micron collectively pour over $2.5 billion into expanding their Vietnamese operations. New local entrants, such as FPT and Sovico Group, and major players like Nvidia and Apple, are positioning Vietnam as a semiconductor hub, with the country’s market share in ATP expected to reach 8%–9% by 2032. Vietnam’s political stability, economic openness, and ambitious plans for six fabs by 2050 underscore its growing significance in the global semiconductor landscape.
My Take
Vietnam’s rising profile in semiconductor ATP signals a shift in global supply chains toward resilience and diversification. The substantial investments from major players underscore confidence in Vietnam’s long-term viability as a production hub. This trend, driven partly by U.S.-China tensions, offers Vietnam a unique opportunity to become a player in back-end manufacturing (ATP). With robust support from both local and international entities, Vietnam could emerge as a strong semiconductor market contender by the next decade.
#VietnamSemiconductors #ChipManufacturing #GlobalSupplyChain #SemiconductorIndustry #USChinaRelations #TechExpansion #Investment
Link to article:
Credit: Tom’sHardware