HANOI :Intel Corp is considering a significant increase in its existing $1.5-billion investment in Vietnam to expand its chip testing and packaging plant in the Southeast Asian nation, two sources familiar with the matter told Reuters.
Officials of Vietnam's investment and planning ministry and the provincial government of Ho Chi Minh City, where Intel has an existing plant, were not immediately available for a comment. The U.S. chip giant already has extra land where its plant is based and an expansion in Vietnam would help it better manage supply disruptions stemming from relying heavily on a single country or a plant, one of the sources told Reuters, citing internal talks.
The executive said Vietnam's biggest opportunity was in the chip assembling sector to satisfy industry demand to reduce"over-concentration" of production capacity in China and Taiwan, which together account for 60 per cent of global capacity in that segment.
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