Samsung will begin the production of semiconductor components in Viet Nam as early as 2023

Samsung will begin the production of semiconductor components in Viet Nam as early as 2023

Sanctions and restrictions on semi-conductor companies in China have forced foreign producers to seek safe harbours; the process of transferring production from China to the less developed countries of South-East Asia has been before, but largely under pressure from domestic factors, due to the increase in labour and other costs; the sanctions have accelerated this trend, and Samsung is planning to produce semi-conductor components in Viet Nam.

Samsung has distributed information on the intentions of one of Viet Nam's official government websites, and now the company is testing the process of producing chip substrates with BGA arrays, with contact for spraying in the form of miniatural balls. This will be done by the Samsung Electric-Mechanics Vietnam factory in the northern province of Tai Nguyen. There is no more information on future products.

Samsung seems to be planning to pack and test chips in Viet Nam. A similar production since 2006 in Viet Nam has an Intel. In almost two decades, this enterprise has not moved beyond relatively simple cutting operations and packaging of silicon plates. Samsung is also likely not to risk trusting Vietnam with the processing of silicon plates. Samsung intends to build a plant, for example, in the United States.

The production of semiconductor components in Viet Nam will become the third major Samsung business in that country, with the production of South Korean giant household equipment and half of the smartphones under the Samsung brand.