Electronic Components Industry
Electronic Components Industry is a supporting industry that plays an important role in the development of the Electronics Industry by providing parts and components from which to assemble parts of complete electronic products. Therefore, the development of electronic components industry is associated with the development of electronics.
From 2010 up to now, Vietnam electronics industry has developed rapidly and occupied a high proportion in the whole industry. Industrial production value of electronic components industry in the first three months was estimated at 113.115 billion dong, up 1.7% over the same period of 2017 due to an increase in Samsung’s sales, leading to boost the electronic components production in Vietnam to manufacture chips, semiconductors and mobile processors.
Supporting industries, components production in Vietnam has not developed because this is a sector that requires large capital investment. In addition, for a long time, component import duties of less than 5% (under the AFTA and WTO implementation) were lower than the import tax on supplies for component manufacture. Therefore, imbalance between product assembly and spare, parts production is increasing as domestic enterprises gradually shift to importing and trading products instead of production. However, in 2017, the Government has issued Decision 68/QD-TTg on the supporting industry development Program from 2016 to 2025.
Vietnam’s participation in many trade agreements in the future will help attract foreign investment, especially for direct investment, promote technology transfer, improve the level of business management, and increase productivity of business.
In the first 9 months of 2018, consumption of electronics components reached VND 329,447 billion, a strong increase of 28.4% compared to the same period last year due to the increasing demand for electronic components of multinational electronics groups. in Vietnam such as Samsung, LG, Nokia …
Vietnam is gradually becoming a factory producing and assembling components for electronic products of many big companies in the world such as Samsung, LG, Canon, Toshiba. According to the Vietnam Industrial Planning, up to 2020, the vision of 2030 sets a target for industrial production value of electronics and information technology to reach 17-18% per year by 2020; The period to 2030 is 19-21% per year.
1. Business environment
1.1. Macroeconomic situation
1.2. Legal framework
2. Industry overview
2.1. Global market
2.1.1. Production and consumption
2.2. Vietnam market
2.2.1. History of industry establishment and development
2.2.2. Value chains in electronics industry
2.2.4. Import and export
2.3. Industry development planning
2.3. Outlook and forecasts
2.3.1. Driving forces for industry development
3. Enterprise analysis
3.1. Introduction of enterprises
3.2. Financial analysis
Figure 1: GDP growth rate, 2015 – Q3/2018
Table 1: Major FDI projects in electronics industry of Vietnam