Vietnam will continue to be a critical part of U.S. technology company Intel’s global manufacturing operations, a representative of Intel Products Vietnam, the Vietnamese business of the chipmaker, confirmed to Tuoi Tre (Youth) newspaper amid news reports that the American firm has shelved a planned investment for expansion in Vietnam in international media.
However, the Intel representative refused to comment on the accuracy of the reports.
“We are glad to support Vietnam’s vast tech ecosystem and workforce development during nearly two decades of operation here, and expect to continue to do that in the coming time,” the representative said.
Nguyen Anh Thi, head of the management board of the Saigon Hi-Tech Park in Ho Chi Minh City, told Tuoi Tre that he heard the news that Intel had called off the expansion of its operation in Vietnam through international media.
However, Intel Products Vietnam has yet to make an official announcement on changes to its expansion plan to the Saigon Hi-Tech Park management board, Thi affirmed.
Intel Products Vietnam is still operating as normal at its factory in the Saigon Hi-Tech Park in Thu Duc City under Ho Chi Minh City.
To date, Intel has disbursed nearly US$2 billion of its investment in the park and its factory there still plays an important role in Intel’s packaging system.
The factory has created jobs for around 3,000 workers and indirectly provided employment for about 4,000 others.
The Saigon Hi-Tech Park is still attracting hi-tech investors and enterprises operating in the semiconductor field.
Reuters reported on Tuesday that Intel had shelved a planned investment in Vietnam that could have nearly doubled the U.S. chipmaker's operation here, citing one person briefed on the plans.
The source told Reuters that Intel had made that decision around July.
A second source who attended two separate meetings in recent weeks between U.S. companies and top Vietnamese officials told the news agency that Intel had raised concerns about the stability of power supplies and excessive bureaucracy.
Intel has invested $1.5 billion in Vietnam and will keep investing in the Southeast Asian country, Kim Huat Ooi, vice-president of manufacturing, supply chains and operations and general manager of Intel Products Vietnam, told Tuoi Tre in July this year.
“I am proud to say that Intel Products Vietnam is the largest of Intel’s four assembly and testing factories.
"The year 2022 marked and cemented the importance of Vietnam to Intel and vice versa.
“The current performance [of Intel Products Vietnam] has reinforced our investment plan in Vietnam.
"By the end of 2021, we had invested $1.5 billion [in Vietnam].
"We want to continue making investments [in the country] and will definitely do that."