Intel to Invest US$300Mln to Build Chip Plant in Vietnam

The world’s largest microchip maker Intel Corp on February 28 receives a license to invest US$300 million to build a plant to produce chips and computer parts in Ho Chi Minh City, the largest commercial hub in Vietnam.

 

The investment figure is only half the previously widely-known amount of US$605 million.

 

The Intel plant is the largest single US investment project to date in the country since the Vietnam War ended, a Ho Chi Minh City authority said.

 

Intel Chairman Craig Barrett said at a license-handing ceremony in Ho Chi Minh City that Intel considers this project one small step in a long journey of involvement with Vietnam.

 

The Intel factory, which will be located in Saigon Hi-Tech Park and will employ 1,200 local workers, is scheduled to begin production in the second half of next year.

 

Officials from the Ministry of Planning and Investment said at the ceremony that the Intel project will provide a great boost to Vietnam's IT industry and will help the Southeast Asian nation draw more foreign investors to the country, especially those who need to cooperate with Intel in making computers and parts.

Vietnam expects to gain US$2 billion from export of computer parts and electronics products in 2006, up about 40 per cent against 2005.
AP, Young People