Samsung Plans US$ 1.5 Bn Chip Testing Plant in Vietnam to Ease AI-Driven Shortages 📈

• Overall Investment: Samsung Electronics is investing 39 trillion dong (US$ 1.5 Bn) to build its first semiconductor testing factory in Vietnam, located 60 km north of Hanoi. Groundwork has begun, with operations slated to start in November 2027. Samsung intends to reinvest potential profits up to US$ 2.5 Bn for a second factory. • Production Capacity: According to provisional proposal documents, the plant will focus on mature/legacy memory chips to address severe global shortages caused by producers shifting focus to AI. The site aims for an annual capacity of 153.3 Bn gigabits (Gb) of DRAM chips and 255.6 Bn Gb of NAND memory chips. • Sector Impact & Regional Context: The investment reinforces Vietnam's position as a major back-end semiconductor hub for assembly, packaging, and testing. While this labor-intensive ICT/manufacturing expansion highlights global supply chain diversification away from traditional hubs, it underscores the rising regional competition for high-value tech investments. Samsung remains Vietnam's largest foreign investor, with over US$ 23 Bn committed to date.