Samsung chief Lee to meet Vietnam’s president for possibly new investment

Jay Y Lee and Vietnamese President Nguyen Xuan Phuc [Source : VNA]

Samsung Group chief Jay Y Lee this week will visit Vietnam, No. 1 producer of Samsung smartphones, and meet the Southeast Asian country’s president to discuss various issues including possibly a new investment in the country.

According to multiple industry sources on Monday, Lee will head for Vietnam on Wednesday and attend a ceremony to celebrate the completion of a Samsung Electronics’ research and development (R&D) center on Thursday. This year also marks the 30th anniversary of diplomatic relations between Korea and Vietnam.

During his visit, Lee will meet Vietnamese President Nguyen Xuan Phuc, which will be their third meeting. Vietnam is a key production base in Asia for Samsung Electronics, and Lee visited the country in 2018 and 2020 where at both times he met with President Phuc to seek cooperation for prosperity of both countries.

Eyes are on their meeting where the two may discuss the Korean company’s additional investments in Vietnam amid ongoing U.S.-China rivalry that has led Vietnam to become an alternative investment destination replacing China for many chip companies. President Phuc has asked Lee several times for Samsung Electronics’ additional investment in building chip factories in the country.

Samsung Group advanced into Vietnam in 1989 even before establishment of diplomatic ties between the two countries when the trading arm of Samsung C&T opened an office in the capital city of Hanoi. More investments have been made since 2008 after a meeting between former Samsung Chairman Lee Kun-hee and former Prime Minister Phan Van Khai in Hanoi in 2005.

The Korean conglomerate currently has six production entities and one sales entity in Vietnam, as well as an R&D center. Vietnam is Samsung Electronics’ largest smartphone production country.

The new R&D center opening this week in Vietnam is a mega project led by Chairman Lee. The 16-story center with three underground floors is located on an 11,603 square meter site and 79,511 square meter total floor area.

It is Samsung Group’s first overseas R&D-dedicated center. Samsung Electronics’ corporation in Vietnam is currently hiring research individuals that will work at its R&D center in Hanoi.