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US companies looking to boost chip production in Vietnam: Envoy

  • By Al Mayadeen English
  • Source: Agencies
  • 1 May 2023 23:33
2 Min Read

The United States Ambassador in Hanoi says the US is Vietnam's top export market.

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  • US companies looking to boost chip production in Vietnam: Envoy
    RAM memory chips are seen in this illustration photo on June 21, 2017 (Reuters)

United States Ambassador in Hanoi, Marc Knapper, pointed out on Monday that US companies are looking to address supply chain threats by ensuring an expanded supply of microchips in part by investing in their production in Vietnam.

Knapper made the comment during a meeting at the Korea Economic Institute of America.

"There is a lot of interest in the CHIPS Act [and in] what it can manufacture there. The United States is Vietnam's top export market," the US envoy pointed out.

He continued, "We have a very powerful triangular trade. There is a lot going on especially in terms of business."

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The US Ambassador highlighted that the United States and Vietnam record an annual bilateral trade volume of $130 billion, deeming Vietnam the eighth largest US trading partner in the world.

In addition, Knapper revealed that 70% of South Korea's Samsung Industries phones that are sold in the United States are made in Vietnam, as are components for Boeing 737 jets.

In July 2022, Congress passed the CHIPS Act under the pretext of strengthening domestic semiconductor manufacturing and reinforcing the United States' microchip supply chains.

According to the Semiconductor Industry Association, the share of modern semiconductor manufacturing capacity located in the United States has fallen from 37% in 1990 to 12% today.

Read more: New restrictions introduced on CHIPS-funded firms operating overseas

  • United States
  • Hanoi
  • US
  • chips
  • Vietnam

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