Foxconn expands investment with additional $80 million for chip production in Bắc Giang

DNHN - Shunsin Vietnam Technology Co., Ltd., a subsidiary of Foxconn, will invest an additional $80 million in Quang Chau Industrial Park in Bắc Giang Province to manufacture chips.

The factory project by Shunsin Vietnam Technology Co., Ltd. in Quang Chau Industrial Park, Việt Yên Township, Bắc Giang Province, has garnered significant attention from the community and investors alike. With its investment registration certificate issued on June 27, 2024, this project not only marks a milestone in the development of Vietnam’s high-tech industry but also opens up new job opportunities for the local labor market.

Occupying more than 44,000 square meters, Shunsin has leased the site from Saigon-Bắc Giang Industrial Park Joint Stock Company, a subsidiary of Kinh Bac City Development Holding Corporation (HoSE: KBC). The project primarily aims to manufacture and process electronic components, specifically integrated circuit boards, with an annual capacity of 4.5 million units. Notably, all products will be exported to demanding markets, including the U.S., EU, and Japan.

Integrated circuits, or chips, are the core components of modern electronic devices, consisting of millions of transistors, resistors, and capacitors that enable complex electronic functions. This sector is booming with robust growth potential amid the ongoing digital transformation.

The total investment for the project amounts to 1.916 trillion VND, or approximately $80 million. Of this, Shunsin has committed $20 million in equity, with the remainder to be raised from other sources. Shunsin is expected to  complete legal formalities, including obtaining a construction permit, by December this year. After that, the company will commence construction and equipment installation, targeting completion by May 2026. The project is scheduled to officially begin operations in December 2026, following a trial phase starting in June of the same year.

Once fully operational, the project is expected to require a workforce of around 1,450, including 35 foreign employees, significantly contributing to local employment. This is a positive signal not only for Bắc Giang’s economy but also for Vietnam’s labor market.

Bắc Giang is also home to Foxconn’s prominent Fukang Technology project, with a total investment of 12.507 trillion VND. Foxconn is currently seeking environmental permits for the exhaust treatment system of its iPad and MacBook production lines at this facility. Since entering the Vietnamese market in 2007 with its first plant in Quế Võ Industrial Park in Bắc Ninh, Foxconn has expanded its network across several provinces, including Bắc Ninh and Bắc Giang, with a total workforce reaching 60,000 employees.

The growing investment in the high-tech industry in Bắc Giang not only drives local economic growth but also fosters a more competitive environment for businesses and investors, paving the way for sustainable development in the future.

Le Tran