Viet Nam starts construction of first domestic chip plant

The project, launched by the military-run Viettel Group, marks a pivotal moment as Viet Nam plans to create its own semiconductor manufacturing ecosystem.

Focus on mastering core technologies by 2030

Addressing the event, Prime Minister Pham Minh Chinh underscored the strategic importance of the facility.

"This is a crucial step toward materializing our national semiconductor industry development strategy," he said. "It creates a foundation for Viet Nam to integrate more deeply into the global value chain through science, technology and innovation."

The Prime Minister tasked the Ministry of Science and Technology to promote research and technology transfer linked to human resource development for the semiconductor industry; support connectivity among leading domestic and international experts, particularly Vietnamese experts working overseas.

The Ministry of Finance was urged to report to competent authorities on capital allocation and provide guidance on implementation, ensuring quality, progress and compliance with legal regulations.

The Ha Noi People’s Committee was requested to urgently hand over land for the project and ensure necessary infrastructure conditions—including electricity, water and transport—for the construction and operation of the plant.

Relevant ministries and sectors, within their respective functions and mandates, were instructed to guide, coordinate with and support the Ministry of National Defense and the Viettel Group in implementing the project in accordance with the law.

Lieutenant General Tao Duc Thang, Viettel’s chairman and CEO said that group will complete construction, receive technology transfer and begin trial production by the end of 2027. 

In the 2028–2030 period, the group will focus on optimising processes and improving production efficiency to international standards.

Located at Hoa Lac High-Tech Park on a 27-hectare site, the plant will function as national infrastructure for semiconductor research, design, testing and production.

Once operational, it will supply chips for multiple industries, including aerospace, telecommunications, the Internet of Things, automotive, medical equipment and automation.

A complete semiconductor chip requires six main stages: product definition, system design, detailed design, chip fabrication, packaging and testing, and integration and verification.

Viet Nam has gradually participated in five of these stages. Chip fabrication—the most complex and critical step—has so far remained beyond domestic reach. The new facility is expected to complete the entire production chain.

The plant will help complete the domestic semiconductor ecosystem, enabling chip design companies, tech startups and research institutions to shorten testing cycles and accelerate product development. It will also serve as a training hub for semiconductor talent, supporting Viet Nam's goal of training 50,000 chip design engineers by 2030 and building a semiconductor workforce of 100,000 by 2040./.