In recent years, thanks to its suitable position in the “China +1” trend, more and more foreign businesses have chosen Vietnam as a destination, especially industrial giants.
According to data from the Foreign Investment Agency under the Ministry of Planning and Investment, as of December 20, 2023, Vietnam had a total of 39,140 FDI projects with a total investment of over 468.9 billion USD, an increase of nearly 7% compared to December 20, 2022.
 Source: Foreign Investment Agency
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Source: Cushman & Wakefield’s report
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Apple and partners plan to invest in Vietnam
One of the world’s technology giants, Apple, has proposed that its largest contract partner, Foxconn, expand its MacBook production line in Vietnam from around May 2023. At the same time, Apple is also planning to produce Mac Pro in Vietnam.
According to TechCrunch, citing JP Morgan’s report, Apple plans that by 2025, Vietnam will contribute 20% of the total output of iPads and Apple Watches, 5% of MacBooks, and 65% of AirPods. Apple currently has 25 partner factories in Vietnam, accounting for 13.9% of the total 190 suppliers, as of the fourth quarter of 2021.
Apple’s three major partners, Foxconn, Luxshare, and Goertek, announced their continuous expansion of electronics manufacturing facilities in Vietnam to meet Apple’s demand and avoid dependence on the supply chain in China.
Among them, Foxconn has been present in Vietnam since 2007, specializing in the production of consumer electronics and communications products. To date, Foxconn has invested 3.2 billion USD in Vietnam.
In late June 2023, Foxconn was granted investment certificates for two new projects with a total capital of 250 million USD by Quang Ninh province, as a commitment to further accompany Vietnam in developing high-tech industries.
Mr. Chau Nghia Van, Deputy General Director of Foxconn Vietnam, said: “In the future, we will continue our 3 + 3 strategy in the Vietnam market, focusing on three emerging industries: electric vehicles, digital healthcare, and robotics, with the application of three new technologies: artificial intelligence, semiconductor, and telecommunications.”
 Foxconn factory in Quang Chau Industrial Park (Bac Giang province)
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Goertek officially invested in Bac Ninh in 2013 by establishing Goertek Vina Co., Ltd. in Que Vo Industrial Park. Since then, Goertek has invested in three projects with a total registered capital of over 900 million USD.
In a meeting with the leaders of Bac Ninh province, Mr. Jiang Bin, Chairman of Goertek Corporation, said that the total investment of Goertek in Bac Ninh accounted for 20% of the total revenue of the corporation. Currently, the Group is developing a 5-10 year plan, with expected investment in Bac Ninh being three to four times the current investment level.
 Goertek factory in Bac Ninh
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Luxshare currently has six factories in Vietnam, located in Bac Giang and Nghe An. In late 2023, the company increased its total investment in Vietnam to 504 million USD by investing 330 million USD to expand its production facilities in Bac Giang.
Luxshare is the manufacturer of AirPods Pro wireless earphones and Apple Vision Pro mixed reality glasses for Apple. In addition, the company can produce smart devices, digital voice signal devices, communication devices, walkie-talkies, smart location tags, and smartwatches.
 Luxshare factory in Bac Giang
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Leading foreign investor in FDI in Vietnam in the semiconductor industry
Samsung is also a major player that officially entered Vietnam in 2008 by building a mobile phone manufacturing plant in Bac Ninh province.
Through continuous investment activities in Thai Nguyen, Hanoi, and Ho Chi Minh City, Samsung currently operates six factories, one sales entity, and one research and development center (R&D). The R&D center of Samsung in Vietnam is the largest in Southeast Asia.
With a cumulative investment of 20 billion USD by the end of 2022, Samsung is the largest foreign “eagle” in Vietnam.
A Samsung factory in the Ho Chi Minh City High-Tech Park – Photo: TV
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Another major South Korean company, LG Innotek Group, has also invested in Vietnam for the past 10 years. LG chose the port area as its capital destination, establishing LG Innotek Hai Phong Co., Ltd., in Trang Due Industrial Park.
The factory officially started operations in September 2017, with a total investment of over 1 billion USD, specializing in the production of camera modules, providing employment for about 3,500 laborers.
In June 2023, LG Vietnam, the representative company of LG Group in Vietnam, was granted an investment certificate for the expansion project of the LG Innotek Hai Phong factory with a total investment of 1 billion USD. This is expected to create an additional 2,600 jobs and contribute 100 billion VND to the local budget annually. Thus, the total investment of LG Innotek Group in Hai Phong will reach nearly 10 billion USD.
 LG Innotek factory in Hai Phong at Trang Due Industrial Park
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The company that laid the foundation for the semiconductor industry in Korea, Amkor Group, officially inaugurated the Amkor Technology Vietnam factory at Yen Phong II-C Industrial Park on October 11, 2023. This is known to be the world’s largest semiconductor factory of Amkor.
The factory covers an area of 23 hectares, with a total investment of 1.6 billion USD, divided into three phases. Phase 1 will have an investment of around 520 million USD and is expected to create jobs for 10,000 workers by 2035. In this phase, the factory will focus on trial assembly and supply advanced system-in-package (SiP) solutions to electronics and semiconductor manufacturers.
Established in 1968, Amkor Group is the first company to produce semiconductors in Korea, leading in the OSAT industry (packaging, testing of semiconductors). The group provides more than 3,000 high-tech solutions for various applications, such as automotive, telecommunications, entertainment, computers, and industrial products.
Amkor Technology Vietnam factory at Yen Phong II-C Industrial Park
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Another major player in the semiconductor industry, Nvidia (USA), one of the world’s top three chip manufacturers in terms of revenue in 2023, has also shown interest in Vietnam.
In a meeting with Prime Minister Pham Minh Chinh in December 2023, Nvidia’s CEO, Mr. Jensen Huang, highly appreciated Vietnam’s potential, the great opportunities, clear strategies, vision, and the country’s focus on infrastructure investment in the semiconductor and artificial intelligence fields, especially the human resources in Vietnam’s technology industry.
Mr. Huang revealed that Nvidia had invested approximately 250 million USD in Vietnam and identified Vietnam as an important market.
Investment in Vietnam with a green goal
Not in the technology field like the aforementioned companies, the Lego Group (Denmark) has made a mark by investing in Vietnam with a green goal, building its first carbon-neutral factory in Binh Duong.
The Lego factory covers an area of 44 hectares and is scheduled to be deployed in the second half of 2023 at the VSIP 3 Industrial Park, expected to be operational in the second half of 2024.
The total investment of the project is over 1 billion USD, divided into investment phases over 15 years. This is the largest FDI project from Denmark implemented in Vietnam to date. This will be the 6th factory of Lego in the world and the 2nd in Asia. The factory in Vietnam will be responsible for mold-making and packaging operations, serving Lego’s Asian market, in addition to the factory in Guangdong, China.
The highlight of this factory is the use of on-site solar energy generated by Lego itself and green energy from nearby energy supply projects. Renewable energy will meet 100% of the operational requirements of the factory, thereby reducing carbon emissions to the environment.
Lego aims to create 4,000 job opportunities in Vietnam in the next 15 years. The recruitment process will begin in the second half of 2023, synchronized with the construction process.
Progress of the Lego factory in Binh Duong in September 2023 – Photo: Lego
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By Ha Le
