With constant efforts, Bac Ninh wishes to become a reliable partner and an important link in the global semiconductor manufacturing supply chain, gradually realising the goal of becoming a high-tech industrial city with smart manufacturing by 2045.
At a working session with the Standing Committee of the Bac Ninh Provincial Party Committee last July, Prime Minister Pham Minh Chinh emphasised the need for Bac Ninh to take advantage of its potential and strive to become a city with modern industry and high technology by 2030; becoming the driving force for development of the Northern Key Economic Region, the Capital Region and the entire Vietnam.
Creating momentum for the semiconductor industry
On October 11, at Yen Phong II-C Industrial Park (Yen Phong district), Amkor Group held a ceremony to inaugurate Amkor Technology Vietnam Factory after two years of construction, marking an important starting milestone to help Bac Ninh officially appear on the world map of semiconductor component production. This is Amkor's most advanced semiconductor factory globally and the largest semiconductor factory in Vietnam to date.
With a total investment capital of up to 1.6 billion USD, the factory is expected to create jobs for about 2,000 workers, with 10,000 jobs by 2035. In the first phase, the factory is expected to produce, assemble and test semiconductor materials and equipment on a scale of 1,200 million products per year.
The Samsung Electronics Vietnam factory was officially established in Bac Ninh in 2008. After 15 years, Samsung has now added two new factories, and the group's total investment capital in Bac Ninh is about 10 billion USD.
Familiar partners of Apple Group in Vietnam, Foxconn and Goertek, also increased capital and opened more factories, showing that the scale of the electronics industry in Bac Ninh is large enough to lead to the development of the semiconductor chip industry, opening up opportunities to participate in the global supply chain and value chain.
After 10 years of establishment, the investment capital in Bac Ninh currently reaches 20 per cent of the total value of the group. Over the next ten years, Goertek strives to increase investment capital in Bac Ninh by three or four times compared to the present.
Jiang Bin,
Chairman of Goertek Group
Currently, the number of newly granted FDI projects in the province has increased 2.8 times and increased 3.3 times in registered capital compared to the same period in 2022. By November 20, 2023, Bac Ninh had granted 349 new foreign investment projects with a total capital of 1 billion 57 million USD. Accumulated to date, the province has issued investment certificates to 2,109 valid projects, with a total capital of 24.941 billion USD, from 39 countries and territories.
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Manufacturing and assembling semiconductor components at Que Vo Industrial Park. |
From "attracting" to "cooperating" in investment
Promoting the competitive advantage of geographical location and having an open investment environment, attracting foreign investment capital truly becomes an important driving force, positively contributing to socio-economic growth and development, turning Bac Ninh into a locality with a dynamic economy with many encouraging achievements.
However, it can be said that many large corporations invest in building production facilities in Bac Ninh but are often not willing to transfer technological know-how. Therefore, the processing and manufacturing industry in the area still stops at the processing, assembly, and packaging stages, with low added value, depending on imports of raw materials and intermediate products.
In 2023, the world situation continues to change rapidly and complicatedly, so for the first time in decades, Bac Ninh is forecast to have a negative GRDP growth rate of 6.18%. Total import-export turnover only reached 78.9% of the plan, State budget revenue is estimated to reach 88.4% of the estimate and the unemployment rate in urban areas is 0.6% higher than planned.
Therefore, in the current context, to promote the advantages of FDI capital, Bac Ninh sets a new goal, gradually shifting from "attracting" FDI capital, to "cooperating" with foreign investors in the spirit of equality and mutual development, mutual benefit, and mutual responsibility to society, workers, and environmental protection.
The province's goal in the coming time is to cooperate in investment associated with sustainable development, encourage links between FDI enterprises and domestic enterprises, and increase the localization rate of products. The province is always ready for clean premises, human resources, reform, and supporting investors interested in investing in the province.
Nguyen Anh Tuan,
Member of the Party Central Committee, Secretary of the Bac Ninh Provincial Party Committee
Currently, Bac Ninh Province is also accelerating the progress of building a centralized information technology park, with an area of more than 260 hectares and a workforce of about 20,000 people. In particular, the province is focusing on infrastructure development. The province is striving to become the centre of electronics, components, and semiconductor microchips of the northern midland and mountainous region and the Hanoi Capital Region, contributing to improving the competitiveness of commodity products and services of businesses in the province while enhancing the position of Vietnam's information technology brand.
In the coming time, the province needs to focus on developing high-quality human resources and continuing to improve the most favourable and attractive business environment for investors, businesses, research institutes, and training facilities in the semiconductor industry. At the same time, the province needs to have a policy connecting the province and the national innovation centre to create a gradually complete ecosystem.
