The ambiguity of the situation in the chip production equipment market emerging due to the confrontation between the US and Chinese authorities was eloquently illustrated by the participation of American giants in the Chinese industry conference as sponsors of the event. At the same time, American business is aware of the risks associated with China, and therefore Lam Research is trying to establish itself in Vietnam.
This was reported by the Nikkei Asian Review with reference to statements by representatives of an American supplier of equipment for the production of chips. Vice President of Global Operations Karthik Rammohan visited Hanoi to assess opportunities to diversify supply chains and support the company's manufacturing activities in the Asian region, the source said. In the capital of Vietnam, he met with the country's Prime Minister Pham Minh Chinh. Vietnamese authorities are reportedly encouraging Lam Research to invest up to $1 billion in the local economy in order to organize local production.
According to Vietnamese media, Lam Research's partner in Vietnam could be the South Korean company Seojin, which already cooperates with Samsung Electronics and Intel, which have large enterprises in the country. Chinese customers accounted for 31% of Lam Research's revenue in 2022, but U.S. export restrictions in 2023 saw that share drop to 26%. With some chipmakers considering Vietnam as a migration destination from China, having Lam Research equipment manufactured locally here would certainly simplify logistics. The company also sources materials from eight Vietnamese suppliers, so its interest in interacting with local businesses is wide-ranging.
The Vietnamese authorities are aware of the importance of the observed trends, and therefore, together with large foreign businesses, they are trying to promote an initiative to train 100,000 qualified specialists to work in the local high-tech sector. Initially there was talk of 50,000 specialists, but then it became clear that this number was not enough.
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