SEMCO to Invest KRW1tr in Chip Package Substrate Facilities in Vietnam

Viet · Feb 18, 2022

Samsung Electro-Mechanics’ plant in Vietnam
Samsung Electro-Mechanics Co. (SEMCO) is accelerating investment in semiconductor package substrate production facilities in Vietnam.

The Vietnamese government said in a statement that it has approved SEMCO's investment worth US$920 million (about 1.1 trillion won) in production facilities for flip chip-ball grid array (FC-BGA) substrates in northern Vietnam.

The company announced late last year that it would invest about 1 trillion won to build the facilities and related infrastructure at its plant in Ta Nguyen Province, Vietnam.

The investment will be implemented in stages by 2023. The new plant will ramp up the company’s current production capacity of 16,900 square meters of FC-BGA substrates per month to more than 20,000 square meters. The latest investment will boost SEMCO’s investment in Vietnam to US$2.27 billion (about 2,717.8 billion won).

Meanwhile, the company says it has no plans to further expand FC-BGA investment at the moment. In a conference call on fourth-quarter earnings, Ahn Jung-hoon, head of the company's Package Support Team, said, “We are building new FC-BGA substrate production facilities in Vietnam, which will start mass production in the second half of 2023.”