A screenshot of the article (Source: tractus-asia.com)

Hanoi (VNA) – Vietnam has proved its significant
and growing foothold in the semiconductor value chain across ASEAN in recent
years, business strategy consulting and operations management firm Tractus wrote in its recent article.

The article noted with a large working-age population and
relatively low cost of living, Vietnam boasts a competitive labour cost
advantage. “Recognising this potential, the Vietnamese government is actively
promoting computer science education, aiming to cultivate 50,000 semiconductor
engineers by 2030.”

It added that Vietnam’s booming electronics industry (EI),
led by multinational corporations such as Samsung and Daewoo, has played a
vital role in a proportional increase in semiconductor materials to fabricate
the necessary electronic components. Meanwhile, the adoption of 3D packaging
technologies has revolutionised the industry, enhancing performance and energy
efficiency. Furthermore, advancements in materials like gallium nitride (GaN)
and silicon carbide (SiC) are opening new possibilities.

According to the article, because of the COVID-19 pandemic
and US trade restrictions, semiconductor manufacturers are on the lookout for
new locations, and Vietnam has emerged as a compelling choice. The Vietnamese
government is capitalising on this trend by offering competitive incentives for
foreign direct investment (FDI) projects, particularly in high-tech sectors.

Alongside foreign investment, Vietnamese technology
companies are actively shaping the future of the industry. Notably, FPT,
through its subsidiary FPT Semiconductor, has entered the domestic fabless
market.

In conclusion, it wrote: “Vietnam’s strategic location, cost
advantages, and burgeoning electronics industry position it as a rising star in
the global semiconductor landscape. With government support, technological
advancements, and increasing foreign and domestic investments, Vietnam is
poised to play a vital role in the future of this critical industry.”/.