The future of Vietnam’s semiconductor industry is entering a defining stage, as the world undergoes a major restructuring of technology supply chains and nations race to attract investment into what is considered the “backbone” of all digital industries. Amid increasingly fierce global semiconductor competition, Vietnam is emerging as a key destination in the regional chip market thanks to the convergence of multiple strategic advantages. Experts believe that if Vietnam seizes the right opportunities, it could become Asia’s manufacturing – chip design – packaging hub within the next two decades, while gradually moving deeper into the semiconductor supply chain, mid-tier chip design, and supporting industries.
Geopolitical complexities have driven major technology corporations to accelerate the “China+1” strategy, expanding production beyond China to reduce risk. Vietnam is a clear beneficiary due to its stable political environment, strategic geographic location, young workforce, and more than 20 years of experience attracting FDI in electronics, semiconductors, and electronic components. Companies such as Samsung, Intel, Amkor, Synopsys, and Marvell have established the foundation of Vietnam’s semiconductor ecosystem, connecting crucial segments including packaging and testing, IC design, semiconductor R&D, and component manufacturing. Intel’s consideration of expanding its factory and Amkor’s operation of one of the world’s largest chip-packaging plants in Bac Ninh further reinforce confidence that Vietnam can climb higher in Asia’s semiconductor value chain.
However, the semiconductor industry is not driven by capital alone; it also depends on research infrastructure, engineering expertise, core technologies, and the strength of local enterprises. These are structural challenges Vietnam must resolve to break through. While the US, South Korea, and Taiwan spent decades building complete semiconductor supply chains, Vietnam currently participates primarily in packaging, testing, wafer processes, and some basic IC design. This requires a large-scale strategy for training high-quality human resources, developing microchip research centers, and strengthening the links between research institutes, universities, and enterprises—aiming toward chip technology autonomy and stronger IC design capabilities.
The Vietnamese government is demonstrating strong commitment through its Semiconductor Industry Development Strategy to 2030, with a vision toward 2045. Tax incentives, plans for semiconductor-dedicated industrial zones, science and technology funds, and international cooperation with leading universities in chip design, artificial intelligence, electronics, and nanotechnology are forming a crucial foundation. Vietnam’s semiconductor startup ecosystem is also taking shape, with many startups pursuing IoT chip design, sensors, low-power chips, and advanced technologies for automotive and electric-vehicle applications—opening new directions for the country’s technology sector.
Despite abundant opportunities, the global semiconductor race is more intense than ever. Countries like the US, China, South Korea, Japan, and Singapore are rolling out support packages worth tens to hundreds of billions of dollars. Meanwhile, the cost of building a chip fabrication plant (fab) can reach USD 10–20 billion—far beyond the financial capabilities of most Vietnamese enterprises. In addition, the semiconductor materials supply chain, automation level, high-tech logistics, international standards, and capacities related to wafers, transistors, and silicon materials remain limited. Vietnam must therefore choose the right market segments: chip design, packaging and testing, mid-range chip production, IoT technologies, AI chips, and data-center development in order to progressively establish its regional position.
Still, the opportunity has never been clearer. Global semiconductor demand is surging due to AI, IoT devices, electric vehicles, robotics, 6G equipment, high-performance computing, and supercomputers. A new wave of investment shifting to Southeast Asia is creating an expansion cycle for Vietnam. By leveraging its existing strengths, accelerating engineering workforce development, expanding R&D centers, and upgrading high-tech infrastructure, Vietnam can transform from a “satellite supplier” into a “strategic partner” in Asia’s semiconductor value chain.
The future of Vietnam’s semiconductor industry is therefore a long-term journey—one that requires vision and persistence, similar to how South Korea and Taiwan once overcame difficult periods to become world-leading chip powers. If Vietnam maintains its FDI attractiveness, strengthens supporting industries, enhances domestic enterprises, and connects the ecosystems of electronics, microchips, artificial intelligence, and big data, the country could secure a significant position in Asia’s semiconductor market by 2045. This is not only an economic opportunity but also a strategic step to affirm Vietnam’s role in the global technology supply chain, where chips, semiconductor technologies, and data form the foundation of the entire digital era.