Samsung will invest heavily in Vietnam in the next 3 years

Meeting Prime Minister Pham Minh Chinh on the morning of July 2, Mr. Lee Jae Yong, Chairman of Samsung, assessed that over 16 years, the cooperative relationship between Samsung and Vietnam has developed very brilliantly.

"Vietnam's success is Samsung's success, Vietnam's development is the group's development," said Mr. Lee Jae Yong.

Samsung Electronics is committed to a long-term partnership based on the spirit of "harmonized benefits and shared risks." "Samsung plans to invest heavily in the next three years to make its factory in Vietnam the group's largest display module manufacturing base globally," said Mr. Lee.

Meeting Prime Minister Pham Minh Chinh in mid-May, Samsung leaders said the company plans to invest an additional $1 billion each year in Vietnam.

Prime Minister Pham Minh Chinh highly appreciated the results of this electronics corporation in investing and doing business in Vietnam. According to him, Vietnam is developing a decree on the establishment, management and use of the Investment Support Fund to ensure the stability, competitiveness and attractiveness of Vietnam's investment environment. The policies also aim to attract corporations and enterprises to invest in large projects in areas where Vietnam encourages investment such as high technology, semiconductor chips, AI, and research and development (R&D) centers.

Therefore, he hopes that in addition to expanding investment, Samsung will continue to diversify its supply chain, consider Vietnam as a strategic production base and research and produce key products for the international market.

Vietnam is continuing to negotiate free trade agreements (FTAs), expanding new export markets such as the Middle East, South America, and Africa. This will help Samsung expand the market for its key products.

The Prime Minister also asked Samsung to increase the localization rate, support Vietnamese enterprises to participate more deeply in the company's value chain; support Vietnam in training high-quality human resources in emerging fields, and promote innovation, science and technology.

In response, Mr. Lee Jae Yong said that currently 310 Vietnamese companies are partners in the group's production chain. This number has increased about 12 times compared to 2014.

About 2,500 engineers and researchers work at the company’s Research and Development (R&D) Center in Hanoi, which includes a division that researches AI in languages ​​other than Vietnamese. The group is also researching and developing 5G equipment.

At the meeting, Prime Minister Pham Minh Chinh also reiterated his wish to have Vietnamese people join the leadership board of Samsung Vietnam in the near future, because "combining Korean management technology with Vietnamese intelligence will certainly be successful".

He affirmed that the Vietnamese Government always supports, accompanies and creates all conditions for the group to successfully and sustainably carry out investment and business activities in Vietnam. "Ministers will be responsible for implementing the agreements between Vietnam and Samsung," said the Prime Minister.

Samsung is currently the largest foreign direct investor in Vietnam, with four factories in Bac Ninh, Thai Nguyen and Ho Chi Minh City with a total capital of more than 22 billion USD. Mobile phones manufactured in Vietnam account for more than 50% of the company's global production output. Its exports of this item are expected to increase by more than 10% this year, compared to nearly 56 billion USD in 2023.

Prime Minister Pham Minh Chinh and his wife paid an official visit to South Korea from June 30 to July 3 at the invitation of South Korean Prime Minister Han Duck-soo and his wife.