The U.S. Semiconductor Industry Finds Vietnam Highly Attractive for Investments

John Neffeur, President of the U.S. Semiconductor Industry Association, informed Prime Minister Pham Minh Chinh that Vietnam stands out as the most alluring destination for American chipmakers. During a meeting with the Prime Minister, Neffeur was accompanied by leaders from prominent American semiconductor companies, including Intel, Qualcomm, Ampere, and ARM.

Neffeur highlighted the current shortage of manpower in the U.S. semiconductor industry, emphasizing that the Vietnamese semiconductor workforce has been instrumental in filling this gap since the onset of the Covid-19 pandemic. He expressed the view that Vietnam is highly attractive to American investors in the semiconductor sector and could serve as a strategic partner supplying much-needed labor.

Commending Vietnam for the significant strides made in its semiconductor industry, the trade association acknowledged the country’s pivotal role in the global supply chain. Neffeur expressed optimism about Vietnam’s plans for advancing its semiconductor industry, particularly in chip designing, which requires less investment compared to manufacturing.

Prime Minister Chinh outlined Vietnam’s strategy to expand its workforce and attract leading foreign firms through incentives. He disclosed plans to have 50,000 highly skilled engineers, specializing in semiconductor designing, by 2030. Emphasizing the importance of science, technology, and innovation, he discussed the Comprehensive Strategic Partnership between the U.S. and Vietnam and the need to allocate resources to key sectors, notably semiconductors.

Both parties recognized the potential for mutually beneficial collaboration, and Prime Minister Chinh instructed government agencies to work with the Semiconductor Industry Association (SIA). He called on the SIA to advocate for Vietnam’s recognition as a market economy by the U.S. government and the removal of unnecessary limitations on technology transfer, workforce development, and research lab construction. Additionally, he urged support for Vietnamese businesses in the American semiconductor supply chain.

In line with a previous commitment, SIA members, representing 99% of all U.S. semiconductor industry sales, pledged to organize more visits to explore Vietnam’s potential and foster connections between businesses in the two countries.