November 30, 2023
US, Vietnam companies hold trade summit during Biden visit;  AI deals unveiled

By Phuong Nguyen and Francesco Guarascio

HANOI (Reuters) – Executives from top U.S. and Vietnamese companies in the semiconductor, tech and aviation sectors are meeting on Monday as part of U.S. President Joe Biden’s visit to Hanoi, seeking to build trade partnerships with new deals in AI. Its being done.

Senior executives from Google, Intel, Amkor, Marvell, GlobalFoundries and Boeing are attending the Vietnam-US Innovation and Investment Summit, according to a draft agenda confirming a Reuters report.

From Vietnam, half a dozen companies have executives, including Nasdaq-listed electric car maker VinFast, flag carrier Vietnam Airlines, tech company FPT, Momo, the country’s largest e-wallet by users, as well as internet firm VNG, which has filed an application. Have done. For US IPO in August.

The meeting, which came after agreeing to a historic upgrade of diplomatic ties on Sunday, underscores the US desire to boost Vietnam’s global role. This is especially true in chip manufacturing as Washington seeks to reduce the sector’s exposure to China-related risks, including trade frictions and tensions over Taiwan.

US Secretary of State Antony Blinken and Vietnam’s Investment Minister Nguyen Chi Dzung are co-chairing the meeting, which will be followed by discussions with Biden and Vietnamese Prime Minister Pham Minh Chinh, according to the agenda.

Newly unveiled deals by the White House include a plan by Microsoft to create “generic AI-based solutions tailored for Vietnam and emerging markets.”

It said Nvidia will also partner with Vingroup, the parent company of Vietnam’s FPT, Viettel and Vinfast, on AI in the country.

The White House also highlighted a number of chip-related investments by US companies in Vietnam, including plans by Marvell and Synopsys to build chip design centers in the country.

It said a new $1.6 billion Amcor factory near Hanoi is scheduled to begin operations in October, which will assemble, package and test chips.

The investment value is comparable to Intel’s $1.5 billion chip assembling plant in the south of the country – the company’s largest plant worldwide. Sources had said earlier this year that it could be expanded.

The White House said Vietnam Airlines would also buy 50 Boeing 737 Max jets, in a deal a source told Reuters that was valued at about $7.5 billion.

The White House also said US conglomerate Honeywell will collaborate with a Vietnamese partner to launch a pilot project to develop Vietnam’s first battery energy storage system.

(Reporting by Phuong Nguyễn and Francesco Guarascio @fraguarascio; Editing by Edwina Gibbs)


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