Intel confirmed that it will invest another US$475 million in Intel Products (IPV) in Vietnam, which is one of the company's largest production bases.

Intel said that this additional investment was made in the second half of 2020 and will help increase the production of 5G products. This is a new investment, Intel’s previous investment of US$1 billion to build the most modern chip assembly and test production facility in the Ho Chi Minh City High-Tech Park (SHTP). Therefore, Intel's total investment in Vietnam is now close to 1.5 billion US dollars.

Mr. Kim Huat Ooi, Vice President of Production and Operations and General Manager of Intel Products Vietnam Branch, said that this affirmed the importance of IPV in the group's production chain. He said: "This is why we continue to invest in facilities and teams in Vietnam."

IPV is one of Intel's 10 production bases in the world. With more than 2,700 employees, SHTP's factory is the world's largest clean room assembly and testing factory for Intel systems. In the past ten years, the total export value of Intel's Vietnam factory exceeded US$50.2 billion. In 2020 alone, Intel set a record export value of USD 13.1 billion, accounting for 68% of the total export value of SHTP.

Mr. Nguyen Anh Thi, Chairman of the SHTP Management Committee, said that under the background of many difficulties, Intel's decision to expand investment is of great significance to high-tech parks, especially Ho Chi Minh City and the whole country.

Positive action

In addition to Intel's nearly one billion US dollars of funds, in January 2021 alone, SHTP has three projects for increasing capital or adjusting its operating model. If the export value reaches 90% or higher, the Samsung HCMC CE Park will be specially transformed into an export processing enterprise that "specializes in the production of export products in the high-tech zone". Or, the registration of the multifunctional integrated project on the Bund in Saigon, in addition to the initial investment of US$170 million, an additional investment of US$40 million will be added.

Compared with 2020, this is a positive start. SHTP assessed the epidemic as "has had a full impact on all aspects of the socio-economic life of enterprises and employees." Throughout the year, the park approved 8 new projects and adjusted 1 capital increase project, with a total capital of 53.8 million US dollars, accounting for only 9.8% of the original plan and 53.8% of the plan.

However, the output value of high-tech products in 2020 will reach US$20.69 billion, a year-on-year increase of 23.3%, which is 3.45% higher than planned, and the total export value will be US$19.08 billion, an increase of 20.15%.

Mr. Nguyen Anh Thi said at the sharing session on January 27, 2021 that SHTP has entered a new stage from 2021. Its vision is to become a knowledge economy center based on science and technology and high-tech human resources. Innovative investment and production of new products with global market scale. To this end, the zone will implement three strategies, including: strengthening human resources, focusing on the development of supply chains and supporting industries, and the development of 5G telecom technology infrastructure. See Road Network Engineering Column Editor/Ge Siyu