Samsung has announced plans to build a new research and development centre in Vietnam.
Samsung said the $220m centre would focus on product development as well as artificial intelligence, internet of things, big data and 5G technologies.
The centre is due to be built in the Tay Ho area of capital Hanoi. The 16-storey building is expected to have a floor area of more than 79,000 sq metres and is due to be completed by the end of 2022.
Samsung said the centre will increase its employees in Vietnam from 2,200 to 3,000 and it will be the largest research centre in Southeast Asia.
Samsung Electronics already has mobile phone manufacturing facilities in Bac Ninh province and Thai Nguyen province, as a well as a household goods and television production facility in Ho Chi Minh City.
Samsung is the largest foreign investor in Vietnam, with investments worth $17bn, the company said.
Choi Joo Ho, general director of the Samsung Vietnam Complex, said: “The development of a new research and development centre is a strategic milestone in the investment history of Samsung in Vietnam. This is also where we realise our commitment to contribute to the development of Vietnam’s science and technology through training and nurturing talented human resources in the field of high technology. ”
A report from property firm JLL last year said Southeast Asia had become an emerging destination for manufacturers and capital thanks to competitive workforce costs, lower tariffs and a large and growing consumer market. Foreign direct investment into manufacturing sectors in emerging Southeast Asia had doubled over the last eight years and reached $46bn in 2018.
Vietnam, Malaysia and Thailand experienced the strongest growth in the last three years, at 12%.
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