FPT Chairman Truong Gia Binh: Vietnam Requires Innovative Approaches to Seize the Semiconductor Opportunities

"Breakthroughs are crucial. We need an institutional revolution. Within 18 months, Vietnam must demonstrate not only its readiness for the semiconductor opportunity but also commitment to seizing it," stated Mr. Truong Gia Binh, Chairman of FPT Corporation, during the semiconductor workforce development conference held on April 24 in Hanoi.

Addressing the urgency of seizing opportunities promptly, FPT Chairman Truong Gia Binh emphasized that the global demand for chips cannot wait for any nation. He stressed that some experts have suggested Vietnam has just 18 months to capitalize on this opportunity. Therefore, the Chairman underscored the necessity for innovative approaches to move swiftly. "One week ago, in a meeting with the US ambassador, the Japanese ambassador, and the Singapore ambassador, one of them remarked, 'You don't realize how significant the opportunities are for your country. However, you only have 18 months.' They did not elaborate on the reasoning behind this timeline," he stated.

FPT Chairman Truong Gia Binh was speaking at the event. Photo: VGP/Nhat Bac

Mr. Truong Gia Binh highlighted two crucial points: firstly, identifying the opportunity that lies in the semiconductor industry, and secondly, understanding the urgency of the situation. The semiconductor sector is selective, favoring countries and populations. Vietnam has a limited timeframe of 18 months because global demand for chips waits for no one. Failure to act promptly means the world will seek alternative solutions. The consequences of chip shortages were evident during the COVID-19 pandemic, leading to significant disruptions across various industries, such as automotive, with surplus production and unsold inventory.

The American Semiconductor Association actively engages with nations to advocate for, strategize, and invest heavily in semiconductor production, aiming to mitigate supply chain vulnerabilities. This proactive stance is mirrored by the Japanese Government and other nations. "I wholeheartedly endorse the Prime Minister's strategy. We must meticulously plan the 18-month roadmap, aiming for breakthroughs. I align with Minister Nguyen Chi Dung's perspective of tackling the challenge on a grand scale rather than focusing on incremental measures," Mr. Truong Gia Binh emphasized.

FPT's Chairman referenced remarks from Mr. Jensen Huang, CEO of NVIDIA, who highlighted during his visit to Vietnam that Vietnam stands out as the sole nation capable of engaging comprehensively in all aspects of the semiconductor supply chain. "Breakthroughs are crucial. We need an institutional revolution. Within 18 months, Vietnam must demonstrate not only its readiness for the semiconductor opportunity but also commitment to seizing it."

Within the conference's scope, Minister of Planning and Investment Nguyen Chi Dung evaluated that the global context and domestic strengths allow Vietnam to amplify its influence in the worldwide semiconductor industry value chain. The Minister outlined four advantages: political resolve, an inviting investment and business conditions that have drawn over 50 enterprises, a skilled workforce, and comprehensive strategic partnerships with numerous nations boasting advanced semiconductor industries.

Prime Minister Pham Minh Chinh views this as both an opportunity and a challenge, necessitating suitable infrastructure, institutions, and human resources to fulfill development needs and attract investment in the semiconductor industry. The Prime Minister emphasized human resources as "one of the factors that partners anticipate in Vietnam." He stated that if Vietnam adequately prepares its human capital, it will gain partners' trust, enhance investment attraction, and foster the development of semiconductor production and supply chains.

Since the end of 2023, the Government has tasked the Ministry of Planning and Investment with spearheading the project titled "Developing Human Resources for the Semiconductor Industry until 2030, with a Vision to 2045", aiming to train 50,000 to 100,000 semiconductor engineers. Infrastructure plays a pivotal role in accomplishing this objective. According to the Minister of Planning and Investment, Vietnam requires a minimum of four national shared semiconductor centers equipped with internationally standardized equipment strategically positioned at national and regional universities across the three regions, as well as at the National Innovation Center. Additionally, establishing approximately 18 fundamental semiconductor training centers within 18 technical universities is essential.

According to the Prime Minister, the development of the semiconductor industry relies on five key pillars: infrastructure construction, institutional improvement, human resource training, resource mobilization, and the establishment of a development ecosystem. He emphasized human resource training for the semiconductor industry as a "breakthrough of breakthroughs" in cultivating high-quality talent. The Prime Minister urged ministries, branches, localities, businesses, universities, and related entities to take proactive and flexible approaches in developing plans and executing specific solutions for semiconductor human resources development based on their respective functions, tasks, and authorities. After considering the insights shared by ministries, branches, and localities, as well as domestic and foreign experts, the Prime Minister concluded that Vietnam possesses crucial conditions, foundations, and prerequisites for nurturing a high-quality workforce for the semiconductor industry.