Samsung says Vietnam is 'global manufacturing hub'

By Anh Minh April 13, 2023 | 06:49 pm PT

Samsung signage is seen in a store in Manhattan, New York City, U.S., November 22, 2021. Photo by Reuters/Andrew Kelly

Samsung considers Vietnam a global manufacturing hub and wants to make it a center of research and innovation, the South Korean giant’s CFO, Park Hark Kyu, has said.

In a meeting with Prime Minister Pham Minh Chinh Thursday, he said he highly regarded Vietnam's investment and business environment and Samsung wants to make Vietnam the "center of centers" for research and development.

Last year the company set up an R&D center in Hanoi and provided training to ensure there would be more Vietnamese in its leadership ranks.

Over 2,000 engineers work at the center.

The number of level 1 and 2 Vietnamese suppliers in Samsung's global supply chain has increased tenfold since 2014, from 25 to 257.

Park also spoke to Chinh about the use of "made in Vietnam" products, and the global minimum tax.

Chinh hailed Samsung's business activities in Vietnam as helping shift the country's economic structure, promoting exports and creating millions of jobs.

Last year Samsung’s profits in Vietnam topped US$4.6 billion. It has invested $18 billion in the country so far, and is planning to increase it to $20 billion.