Vietnam-US Collaboration Opens Up Opportunities for Vietnam in Semiconductor Development

Semiconductors, often referred to as the "brain" behind technology products, hold a crucial role in the development of electronic devices. They enable machines to perform essential functions such as data processing, control, and storage, making them indispensable across various technologies.

During a regular press conference held by the Ministry of Science and Technology on October 9, 2023, Mr. Nguyen Phu Hung, Director of the Department of Science and Technology for Economic and Technical Sectors, emphasized the significant opportunities for Vietnam in semiconductor development. The collaborative efforts between Vietnam and the United States in semiconductor technology signify a substantial chance for Vietnam to become a key participant in the global semiconductor value chain.

The Joint Statement on the Comprehensive Partnership between Vietnam and the United States recognizes Vietnam's immense potential in the semiconductor industry and the rapid growth of the semiconductor ecosystem within the country. Both nations are actively working together to enhance Vietnam's position within the global semiconductor supply chain.

Nonetheless, Vietnam is grappling with the challenge of a shortage of skilled labor in the semiconductor field. With just about 5,000 engineers currently active in the semiconductor sector in Vietnam, there is a clear need for a larger workforce. As each type of semiconductor chip requires highly advanced technology, Vietnam must focus on education, human resource development, research, and technology transfer to swiftly gain a firm grasp on the core technologies in semiconductor development.

The Ministry of Science and Technology has identified semiconductor design as a top priority within the semiconductor value chain, as it constitutes a significant portion of the semiconductor product's value, around 50-60%. Collaborating with other countries, Vietnam is actively attracting investment from foreign corporations to establish research laboratories, centers, and innovation hubs within its universities and research institutions, which will contribute significantly to the robust growth of the semiconductor industry.

The Ministry of Science and Technology has introduced various policies related to semiconductor development, particularly in workforce training and technology transfers from abroad. In the near futuwre, the Ministry will continue to prioritize the implementation of national science and technology programs related to semiconductors.

Furthermore, the Ministry will collaborate with other government departments to advise the government and the Prime Minister on the establishment of a national semiconductor product development program. They will also set up policies to encourage investment in equipment for measuring and verifying semiconductor products, aligning them with ISO/IEC 17025:2017 standards to meet the measurement needs of semiconductor design and manufacturing companies across the nation.

The Ministry will soon propose mechanisms and policies to encourage both domestic and foreign companies and conglomerates to invest in research labs, research centers, and innovation in institutions and universities related to semiconductor research. They also aim to bolster the active participation of major domestic companies such as Viettel, FPT, and CMC, as well as research institutes and universities involved in microelectronics, in the national semiconductor product development program, with an emphasis on semiconductor design.

The Ministry underscores that research and technology transfer are top priorities, aiming to draw talent and technology from overseas into Vietnam. Additionally, they encourage Vietnamese scientists and researchers abroad to contribute to semiconductor development in Vietnam. Soon, the Ministry will enhance technology search and transfer programs and initiate bilateral and multilateral cooperation with countries strong in science and technology, forming strong research groups capable of rapidly adopting core technology in this field.

Mr. Nguyen Phu Hung is confident that with the guidance provided by the Ministry of Science and Technology and the comprehensive policies directed by the Party and Government, Vietnam has the potential to become a significant player in the global semiconductor value chain.