Samsung Electro-Mechanics plans US$1.85 billion plant expansion in Vietnam
The Vietnam subsidiary aims to finish construction and start operations by June 2030 as part of a wider semiconductor substrate investment programme.
Samsung Electro-Mechanics plans to invest approximately US$1.85 billion in expanding semiconductor substrate production at its subsidiary in Vietnam’s Thai Nguyen province, the company said in a September 29 statement.
The expansion covers flip-chip ball grid array (FCBGA) substrates. The Vietnam subsidiary is targeting June 2030 for construction completion and the start of operations. The company put the combined investment across Vietnam and its Sejong site in South Korea at approximately US$5.05 billion, with US$3.18 billion allocated to Sejong.
FCBGA substrates link chips, including AI accelerators, GPUs and CPUs, with a mainboard and carry power and electrical signals. Samsung Electro-Mechanics said the investment is intended to meet rising demand from AI servers, high-performance chips and automotive electronics.
The company said the programme rests on medium- to long-term cooperation with global technology and semiconductor customers, including funding support and volume guarantees. Sejong will focus on mass-producing higher-value products, while the Vietnam operation will address global volume requirements and improve manufacturing efficiency.
The Vietnamese plant is located in Yen Binh Industrial Park and started operating in February 2015. In late 2021, Samsung Electro-Mechanics announced a separate US$850 million plan for FCBGA production lines and supporting infrastructure there, with investment expected in phases through 2023.
Audited financial statements for 2025 showed revenue of US$2.19 billion and profit of US$35.1 million at the wholly owned Vietnamese subsidiary. Its year-end assets stood at US$1.95 billion, while liabilities were US$1.25 billion.
