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21 min ago 2 min read
Vietnam’s Bac Ninh province has attracted around 33 semiconductor-related projects with a combined value of $2.74bn, according to the provincial Department of Science and Technology.
Six of the projects are focused on the semiconductor and semiconductor materials industry, while a further 27 are in the semiconductor equipment and components manufacturing space.
The investment highlights Vietnam’s growing role in the Asian semiconductor market, which is dominated by Taiwan, South Korea, and China.
Taiwan accounts for roughly 60% of global foundry capacity, led by TSMC, South Korea leads in memory, accounting for around 74% of DRAM production, and China is rapidly expanding, aiming for a global production share of over 20%.
Bac Ninh has attracted $1.6bn in investment from US packaging firm Amkor Technology, $115m from US semiconductor manufacturing firm Micro Commercial Components, and $37.46m from South Korea’s Hana Micron Vietnam.
In 2025, the province introduced its 24-Hour Green Lane and 60% Green Lane mechanisms to shorten administrative procedures for semiconductor and high-technology projects and support the development of regional semiconductor infrastructure.
However, Bac Ninh’s semiconductor activity is currently focused on packaging, testing, and the production of auxiliary components, with critical parts of Vietnam’s semiconductor supply chain still reliant on international companies.
US-Vietnam semiconductor relations
In February, US President Donald Trump said the US would Vietnam from a strategic export control list that blocks the country from buying advanced technology from US companies.
The move could help Vietnam progress beyond chip assembly and packaging towards more advanced semiconductor manufacturing, strengthening its position as a strategic partner for the US semiconductor industry.
In September 2023, the US State Department and the Government of Vietnam to grow and diversify the global semiconductor ecosystem under the International Technology Security Innovation (ITSI) Fund, created by the CHIPS Act of 2022.
According to the Bureau of East Asian and Pacific Affairs (EAP), a division of the US State Department, $2m in funding from the US CHIPS Act’s ITSI Fund was dedicated to semiconductor workforce development activities in Vietnam.
The CHIPS Act of 2022 established the ITSI Fund, providing the US State Department with $500m to support the development and adoption of secure and trustworthy telecommunications networks and to enhance semiconductor supply chain security and diversification through new programs and initiatives in collaboration with allies and partners.
