The Semiconductor Company of Korea’s Refining ‘Bigwig’ Serving Samsung and SK Aims to Invest $100 Million in Vinh Phuc

According to a recent meeting between CEO Song Young Hee and the Chairman of the People’s Committee of Vinh Phuc province, Signetics – one of the major suppliers to Samsung and SK – has planned to invest $100 million in the Ba Thien I Industrial Park in Vinh Phuc province, aiming to operate the project next year.

Signetics is a subsidiary of the Young Poong Group, one of the largest conglomerates in South Korea, established in 1949. The group operates in three main sectors: mining, electronics, and book publishing.

Since 1987, Young Poong has heavily invested in research and development, becoming a powerhouse in the metallurgy industry in South Korea and worldwide, especially in zinc production – an essential material for steel, automotive, household appliances, and construction.

The group was the first in the world to commercialize TSL (Top Submerged Lance) technology, enhancing production efficiency by recovering valuable metals (such as silver and copper) in the zinc refining process. Young Poong also focuses on developing green technologies to make production more environmentally friendly.

Signetics, a member of the Young Poong Group since 2000 after being acquired from Signetics Corporation, a California-based enterprise, now focuses on providing semiconductor assembly and testing services. They have been a long-term partner to other Korean chaebols, including Samsung and SK.

Signetics’ prominent contract manufacturing products include Flip-Chip, MCM (multi-chip modules), BGA, FBGA, and more, which are essential components for memory chip, GPU, TV production, etc.

With over 40 years of experience in the industry, the company delivers high-quality products, earning prestigious certifications such as ISO 9001, 14001, 45001, and the notable Samsung ECO Partner, showcasing the trust of its long-term partner.

In addition to assembly, Signetics’ semiconductor testing process offers a comprehensive solution within a 33,000-square-foot area, catering to the most stringent testing requirements based on models from Verigy, Teradyne, Advantest, and others.

Signetics experienced robust growth from 2020 to 2022, with revenue surging from 201 to over 287 billion KRW (approx. $210 million) and maintaining acceptable profitability. However, the company faced a slowdown in 2023, with revenue reaching only 185 billion KRW (approx. $136 million), a 35.5% decrease compared to the previous year, and a net loss of 15 billion KRW (approx. $11 million).

To turn around the 2023 business results and seek further cooperation opportunities with traditional partners like Samsung, the company decided to invest abroad, with Vietnam being a promising choice. The presence of numerous successful suppliers to Samsung and other tech giants in the country is a significant advantage.

With its geographical and transportation advantages, along with attractive investment policies, Vinh Phuc province has attracted many foreign investors. The province will continue to receive investment from the Signetics Group in the coming time and expects to attract more South Korean investors, especially in high-tech industrial fields. Signetics is anticipated to serve as a bridge between the two sides through its upcoming project.