Semiconductor competition continues after Malaysia announced her mission to be Southeast Asia’s largest integrated circuit design park last April. Now, Vietnam joins the competition for the same crown, with the support from an American semiconductor titan – Marvell Technology Inc.

Marvell Technology, Inc., a titan in data infrastructure semiconductor solutions, accelerated the growth of its workforce and presence in Vietnam in the past year since the company announced plans to expand R&D, engineering and design activities in the country. Marvell committed to 50% growth of its workforce in Vietnam in three years, a target shared by the company during last year’s U.S.-Vietnam Innovation and Investment Summit attended by Marvell Chairman and CEO Matt Murphy. Today, Marvell is ahead of its plans, achieving more than 30% growth in just eight months.

Marvell has also expanded its physical footprint in Vietnam with a new location in Da Nang, adding to its offices in Ho Chi Minh City. The growth of its footprint demonstrates the company’s commitment to creating a world-class semiconductor design hub in the country.

“We are excited with the momentum we’ve gained since we announced our design center plans last year, including our progress in adding top engineering talent to our team and expanding our number of sites,” said Murphy. “Vietnam is rapidly becoming a center of semiconductor innovation and we are committed to being part of that.”

A new Marvell design center facility in Ho Chi Minh City, which is expected to open within the next year, and other Marvell engineering facilities in Vietnam are focused on high-speed data center optical connectivity, storage, and analogue and mixed-signal semiconductor technologies. These are critical to the build-out of accelerated infrastructure to meet the rising performance and power requirements of artificial intelligence (AI) and cloud data centers.

“Marvell has been part of the technology ecosystem in Vietnam for over ten years. The company is committed to attracting the best and brightest engineering talent to its semiconductor design center in Vietnam, and to contributing to the growth of the country’s semiconductor community,” said Dr. Loi Nguyen, Executive Vice President of Cloud Optics at Marvell and a native of Ho Chi Minh City.

Malaysia’s Economy Minister Rafizi Ramli said the government will offer incentives including subsidised office spaces, exemptions on employment passes, relocation services and lower corporate tax rates for foreign venture capital firms, tech entrepreneurs and unicorns – startups reaching a $1 billion valuation – looking to invest in Malaysia.

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Source: Vietnam Express

It plans to open its first Vietnam showrooms in Hanoi and HCMC and soon expand to 20 other provinces and cities, Liu Xue Liang, General Manager of BYD’s Asia Pacific automobile sales division, told the media.

“BYD greatly admires VinFast for pioneering the introduction of EVs in Vietnam. We want to collaborate rather than compete with the carmaker to develop EV because the market is still nascent.”

The distribution of vehicles will be handled by subsidiary BYD Auto Vietnam. Ouyang Xiaocheng, its CEO, said the fact that more brands’ entry proves Vietnam’s the market is very appealing.

BYD will debut in Vietnam with compact hatchback Dolphin, compact crossover Atto 3 and midsize sedan Seal. If they prove successful, it will launch three more models by the end of the year, large sedan Han, hybrid crossover Song and midsize crossover Tang. 

All the vehicles will be imported as complete units from China, but in the long run the firm plans to build a factory in Vietnam. It did not disclose prices, but representatives said they are looking to compete with internal combustion vehicles rather than Vinfast’s all-electric lineup since BYD’s priority is facilitating the shift from gasoline to electric. 

The automaker is aiming for sales of 5,000 units, or 900 per month, in H2 2024, sources told VnExpress. BYD entered the automotive industry in 2003 with its gasoline-powered vehicles but fully shifted to electric and hybrid vehicles by 2022. 

It became the world’s biggest EV seller last year, with global sales of over three million units, but only 400,000 were sold outside China. It entered the Thai market in late 2022 and became the country’s leading EV manufacturer with a 40% market share within one year.

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Nearly 50% of respondents in Vietnam’s real estate industry believe the market will recover in the second half of 2024, according to Vietnam Report’s latest survey. This is a stark contrast to Vietnam Express’ earlier report that some 1,300 real estate companies went bankrupt in 2023, an 8% increase from 2022, according to the General Statistics Office. 

Companies that suspended business for a limited time increased by 21% compared to 2022, while companies waiting to complete procedures to be disbanded increased by 29%. On average, 107 businesses go bankrupt every month, while the number of new businesses being established dropped by 45% compared to 2022. 

Vietnam’s real estate market has been in hot water since 2022, and the situation persisted until now, even with assistance from the government. Experts said there were issues regarding the law, land handovers, pricing and capital, among others. The precarious real estate scene caused several projects to be delayed, incurring losses for construction and material businesses. 

Statistics from the Ministry of Construction revealed the total revenue of several companies under the ministry, including HUD, Coma and Vicem, decreased by 16% compared to 2022. Their profit dipped by 66% compared to 2022, to VND1.38 trillion ($56.86 million).

In a report sent to the Economic Commission, the construction ministry said the real estate market still harbours instabilities, stemming from the risk of a crash, lack of supply and inappropriate goods structure, among other factors. 

Vietnam Report CEO Vu Dang Vinh said companies expect three factors to boost their performance in 2024: gradual economic recovery, lower interest rates, and successful application of digital transformation in management and operations. Real estate experts and businesses agree that the real estate market will show more positive signs in 2024 than in 2023, but there will be differentiation among different segments, according to the survey.

The report highlighted office leasing and industrial real estate segments are benefiting from favourable factors such as geographical location, public investment in infrastructure, strong FDI inflows due to the impact of newly signed free trade agreements, the “China+1” strategy, stable economic-political environment, and competitive advantage due to low industrial land prices compared to other countries in the region.

These factors drive development and investment attractiveness of the office leasing and industrial real estate segments. Some 34.5% of companies predict that the industrial real estate segment will thrive in the first half of 2024. Regarding the office leasing market, about 35.7% of respondents forecast a recovery in the second half of 2024.

Residential real estate, high-end apartments and resorts will experience a slower recovery than other segments due to oversupply after a period of rapid growth and people’s caution in investing in these segments, according to the report.

The focus in these segments is on the vision of building one million social housing units between 2021 and 2030, along with planning for land reserves, incentives for investors, and adjustments to sales policies. This will be an opportunity to increase the supply of housing and provide access to social housing for people on low incomes, the report stresses.

The Vietnam Report also examines the state of the real estate market in 2023, a challenging year for the industry as global and Vietnamese economic growth slowed, affecting people’s incomes and reducing the number of successful real estate transactions. By the end of 2023, the number of dissolved real estate companies reached 1,286, an increase of 7.7% from 2022, according to data from the General Statistics Office.

3,705 real estate companies that temporarily suspended operations, an increase of 47.4% compared to 2022. In 2023, 41.2% and 16.1% of the businesses experienced revenue and profit declines of less than 25%, respectively. In addition, most of these companies will trim their payroll by 42.9% in 2023.

Many real estate companies surveyed said the three most important drivers of their business results were the company’s reputation and brand in the market, a skilled and experienced workforce with high discipline, and efficient cost reduction and utilisation measures, Vinh said.

As a result, he said, leveraging their existing position and reputation, along with cost-cutting measures, has helped real estate companies maintain operations, with hopes for a more vibrant market in the current year.

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Source: Chosun.com

Southeast Asia enjoyed increasing popularity of Chinese brands, and it caused Samsung’s shipment volume and market share to decrease compared to the same period last year. Canalys’ findings revealed a total of 7.26 million smartphones were shipped in January from five Southeast Asian countries, including Indonesia, the Philippines, Thailand, Vietnam, and Malaysia. It marks a 20% increase in shipment volume compared to the same period last year.

Among these, Samsung Electronics has shipped 1.5 million units, fueled by the popularity of the Galaxy S24 series. As a result, the company has achieved a market share of 20% , securing the first rank. Samsung had lost the top spot in Southeast Asia to the Chinese company Transsion in December last year but managed to regain it within a month.

According to market research firm, Canalys, the overall economic recovery in Southeast Asia has led to an increase in smartphone demand. Rising interest in Galaxy’s AI (Artificial Intelligence) technology has been a positive factor as well. Xiaomi secured the second spot in the market with a share of 18%, followed by Transsion and Oppo, both with a share of 15%. Vivo came in fifth with 12%.

However, Samsung Electronics is lagging behind Chinese companies in terms of growth. In January, Samsung’s smartphone shipments in Southeast Asia declined by 11% year-on-year, and its market share dropped by 7 percentage points to 20% from 27% in January of the last year. 

On the contrary, Xiaomi’s shipment volume surged by 128% during the same period, and Transsion’s shipments exploded by 190%, challenging Samsung Electronics.

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Vietnam has pledged tax breaks and other perks to semiconductor companies that help to develop the sector in a Southeast Asian country, according to Japan’s Nikkei Asia. The article quoted Vietnamese Minister of Science and Technology Huynh Thanh Dat as saying in an interview that the national plan for chips will include industry grants through a science fund and joint state research with private companies like FPT.

Companies from Nvidia to Samsung are looking to expand their chip businesses in Vietnam, which is slated to receive millions from the US CHIPS and Science Act and already hosts Intel’s biggest global test and assembly factory. Meanwhile, Jose Fernandez, US undersecretary of state for economic growth, energy and the environment, told Nikkei Asia that Vietnam has attracted dozens of companies in the semiconductor field, and several more US players would jump in if the country had enough renewable energy to meet their green goals.

The country needs to strike technology transfer deals with nations dominating the chip sector, Dat said, adding Vietnam will sweeten policies to bring foreign experts into the workforce, which has faced a recent slowdown in foreign work permits. Toward that end, colleges are unveiling semiconductor classes in partnership with employers like Samsung.

Vietnam aims to train 50,000 engineers for the industry by 2030. The country has a strong foundation for science and tech education, but a dearth of advanced skills has limited a broader march up the electronics supply chain.

Fernandez said in an interview while visiting Vietnam that the country is a top target for US CHIPS Act subsidies, which will be a “badge” of confidence. The dollar amount will be based on an assessment expected sometime this month.

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Some 190 new projects were granted investment registration certificates, a year-on-year rise of 24.2%, with a total registered capital of more than US$2 billion, 66.9% higher than that of the same period last year. In addition, 75 projects registered to adjust investment capital with more than US$235.4 million added, down 15.7% and 23.1% respectively.

The month also saw foreign investors contribute more than US$116.5 million to make 174 share purchases, down 14.7% and 33.1% respectively over the same period last year. Authorities of the central province of Nghe An granted investment licences to five foreign-invested projects, with a total capital of US$390 million.

Notably among them were a US$120 million project of Taiwan (China)’s Radiant Opto-Electronics Corporation and a US$115 million project of Hong Kong (China)’s Everwin Precision. Last October, Everwin Precision also began work on a US$200 million project at the Vietnam-Singapore Industrial Park (VSIP) in the central locality.

The northern province of Hai Duong handed investment certificates to 27 projects, with a capital over US$1.5 billion. Besides several domestic projects, there are large-scale FDI projects, such as a $270 million stationery factory invested by Deli Vietnam Office Technology Company Ltd. There was also a project worth US$260 million by Biel Crystal Vietnam Manufacturing Limited, and a Boviet Hai Duong solar photovoltaic cell factory worth US$120 million.

Among nine projects granted investment certificates in early January in the southern province of Dong Nai, there were four foreign-invested, totalling $156.4 million. Meanwhile, $217 million were added to four existing FDI projects.

Deputy Prime Minister Le Minh Khai stressed that Vietnam remains an attractive destination to foreign investors, given the fact that up to US$36.6 billion was registered, and US$23.2 billion was disbursed last year. Michael Kokalari, Director of VinaCapital’s Macroeconomic Analysis and Market Research Department, assessed that Vietnam’s attraction of foreign investment in 2024 will continue to be very positive.

He shared that his firm has received a lot of information about Japanese groups looking for opportunities to cooperate with domestic units, such as VinaCapital, to pour capital into Vietnam’s real estate sector. Other fields that promise to attract large capital flows may be manufacturing and retail, he said.

Speaking at an event to release the Business Confidence Index (BCI) by the European Chamber of Commerce (EuroCham) in Vietnam, its Chairman Gabor Fluit said that 31% of EuroCham members now rank Vietnam among their top three global investment destinations.

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Source: Vietnam Express

Companies that suspended business for a limited time increased by 21% compared to 2022, while companies waiting to complete procedures to be disbanded increased by 29%.  On average, 107 businesses go bankrupt every month, while the number of new businesses being established dropped by 45% compared to 2022. 

Vietnam’s real estate market has been in hot water since 2022, and the situation persisted until now, even with assistance from the government. Experts said there were issues regarding the law, land handovers, pricing and capital, among others. The precarious real estate scene caused several projects to be delayed, incurring losses for construction and material businesses. 

Statistics from the Ministry of Construction revealed the total revenue of several companies under the ministry, including HUD, Coma and Vicem, decreased by 16% compared to 2022. Their profit dipped by 66% compared to 2022, to VND1.38 trillion ($56.86 million). 

In a report sent to the Economic Commission, the construction ministry said the real estate market still harbours instabilities, stemming from the risk of a crash, lack of supply and inappropriate goods structure, among other factors. The latest data from the ministry also revealed the number of successful transactions in the first three quarters in 2023 did not reach half of the total numbers in 2022.

Projects were either delayed or suspended due to legal and capital issues. The credit package worth VND120 trillion has only seen VND83 billion being disbursed, less than 0.07%. Analysts anticipated it will be a transitional phase for 2025, when amendments to the laws regarding housing and real estate go into effect.

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Typically, when cancer tumours are in complicated areas, patients are often at high risk of death during surgery, even in advanced nations. In this case, the large tumour was found to be in the patient’s pelvic floor.

Vietnam encounters only between five and ten similar cases each year — accounting for 5% of bone cancer cases. The patient suffered numbness in the pelvic area, limiting his movement and gait. Several consultations with doctors concluded with prognosis of mild soft tissue injuries incurred from playing sports, despite the huge protrusion.

Image credit – Vinmec International Hospital

Vinmec’s medical experts realised the cancerous tumour is supplied by a large and complex vascular system, resulting in possible loss of up to 10 litres of blood during surgery. On the other hand, the tumour’s compression on vital organs such as the digestive system, urinary system, spine, pelvis, and blood vessels was a challenge to approach.

In a case of hemorrhage, it would lead to an uncontrollable situation without clearly revealing the tumour and related parts. However, without surgery, the patient would face the risk of left leg muscle atrophy, and eventually death.

Additive Manufacturing — Prelude To Procedure

The technology greatly help the medical team plan the procedure by printing the tumour, consequently, providing a visual and accurate assessment of shape, volume, and correlation with vital organs. Based on that, doctors could plan the operative approach and minimise complications. 

3D-printed tumor model with a 1:1 ratio to help doctors plan precise surgery

Prior to the surgery, the radiologists embolised large blood vessels of the tumor to minimise blood loss during surgery. The next day, cardiologists, gastroenterologists, and urologists participated in the initial phase of surgery. Cardiologists exposed and controlled the iliac artery, and may perform ligation when bleeding is severe. The urologist then released the bladder and ureters from the tumor, and the gastroenterologist performed a dissection to protect the digestive tract. 

Orthopedic experts removed the tumour through two incisions in the abdomen and behind the thigh. During the major surgery, the team of anesthesiologists continuously monitored and adjusted to maintain a stable state and minimise post-operative complications simultaneously. The team that participated in this major procedure comprised over 30 medical professionals. The process took 8 hours.

The patient resumed normal activities after three days and was discharged a week after. However, he was advised to wait for the pathology results is necessary to consider radiotherapy, but it is only an additional method. In this case, successful surgery is the best treatment for cancer.

Currently, there are few centers in the world applying 3D printing technology to disease models for preoperative planning of complex cases. Vinmec is the first and only unit to carry this technology in Vietnam. Presently, 100% of bone, joint, and cancer surgeries at Vinmec are performed in the same process: a virtual surgery (on the software), an experimental surgery (on the model), and then an actual surgery (on the patient).

Prof. Ph.D. Dr. Tran Trung Dung – Director of the Center for  Orthopedics and Sports Medicine, Vinmec International Hospital

Prof. Ph.D. Dr. Tran Trung Dung – Director of the Center for Orthopedics and Sports Medicine, Vinmec International Hospital said: “The giant bone tumour in the pelvis (like a pregnant woman) compressed the left sciatic nerve, causing numbness and left leg atrophy. Untimely treatment leads to loss of function in the left leg, and is even life-threatening.

”Due to the increased size of the tumour, it would compress and cause blockage in the digestive or urinary system. Therefore, it is necessary to remove early to help restore limb function and avoid distant complications of the digestive and urinary systems.”

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Source: Manufacturing Asia

The headline ASEAN manufacturing purchasing managers’ index (PMI) rose to 50 last month from 49.6 in October, indicating steady operating conditions across the region. Last month’s print also ended two straight months of contraction. 

Three of the seven nations surveyed recorded improvements last month, led by the Philippines whose manufacturing sector jumped to a nine-month high of 52.7. The health of the manufacturing sectors in Indonesia and Singapore also expanded last month at the same modest rate of 51.7. Factory activity in Myanmar (48.1), Malaysia (47.9), and Thailand (47.6) all worsened last month while Vietnam was the laggard at 47.3.

For the entire region, factories raised their output to its highest level in three months as companies worked through outstanding orders piled up in the first half of the year, despite muted demand. 

Total factory others continued to dip for the third month running, with new orders from overseas declining once again.

Lower new orders, meanwhile, helped companies to catch up with their backlogs without cutting their staff numbers. Factories continued to grapple with high input prices that rose at its fastest pace since April, resulting in a slight increase in output charges. For the next 12 months, ASEAN manufacturers remained optimistic overall although the sluggish demand has tempered their expectations.

“If customer demand continues to wane, it will be detrimental to ASEAN manufacturing sector performance in the months ahead, said Maryam Baluch, economist at S&P Global Market Intelligence.

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Apple is working with China’s BYD, a key iPad assembler, to move new product introduction (NPI) resources to Vietnam, the report said, adding that this is the first time the company has shifted NPI resources to Vietnam for such a core device.

Engineering verification for test production of an iPad model will start around mid-February and the model will be available in the second half of next year, it said.

Apple and BYD did not immediately respond to Reuters’ request for comment. Apple suppliers including Luxshare and Foxconn also invested in the Southeast Asian country earlier this year to further diversify production away from China.

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