NEPCON 2019: Spotlight on Vietnam’s electronics industry potential

10:24 | 10/10/2019 Industry

(VEN) - The development of the Vietnamese electronics industry offers great prospects to turn Vietnam into the world’s new electronics manufacturing hub. This was the thrust of  NEPCON Vietnam 2019, the country’s only exhibition of SMT (surface-mount technology), testing technologies, equipment and support industries for electronics manufacturing that took place in Hanoi in mid-September. It displayed more than 200 brands in seven international pavilions from the US, Japan, the Republic of Korea, Chinese Taipei, China, Singapore, and Vietnam.

spotlight on vietnams electronics industry potential

The event, organized by the Reed Tradex Vietnam with the support of the Vietnam Electronic Industries Association (VEIA), provided domestic electronics businesses with opportunities to connect with foreign firms and discuss technology transfer, enhanced production capacity and supplies. In addition, the exhibition also offered opportunities to meet foreign investors, update technologies, exchange ideas and establish business linkages.

Vietnamese small- and medium-sized enterprises (SMEs) were able to participate in a free support program sponsored by the US government to improve trade and production capacity in order to ensure the provision of goods for multinational corporations in the global supply chains.

Vu Trong Tai, general director of the Reed Tradex Vietnam, said NEPCON Vietnam has become one of the leading events in the electronics industry for thousands of investors who want to expand their business in Vietnam.

Tai said NEPCON is not only a technology introduction event, but also a playground to connect support industry businesses to the global supply chains, providing opportunities to meet partners, share experience, and promote linkages between businesses in the electronics industry in particular and other industries in general.

Sharon Zhang, member of the board of directors of HKW Beijing, said many electronics companies are looking to move their factories to Vietnam. Attending NEPCON Vietnam for the first time, she expressed hope of finding additional local partners.

Vietnam has been a bustling market for manufacturing industries with great potential to attract foreign investment capital. This year marks breakthroughs for the Vietnamese electronics industry, including the shifting production of electronic components from international markets to Vietnam. The establishment of the Vsmart smartphone manufacturing factory and the signing of the EU-Vietnam Free Trade Agreement (EVFTA) promise to open up opportunities for the Vietnamese electronics industry.

Currently, the majority of businesses operating in the electronics industry are SMEs. In Southeast Asian countries, SMEs are still considered the pillar and backbone of the economy. Therefore, to support the development of SMEs, the United States Agency for International Development (USAID) is implementing the five-year, US$22.1 million LinkSME program.

In the framework of NEPCON Vietnam 2019, the USAID held a session themed “How to Connect Vietnamese SMEs to the Global Electronics Value Chain”. The session pointed out challenges for Vietnamese SMEs as well as solutions for their development in the process of global integration.

Ron Ashkin, director of the USAID LinkSME program, said Vietnamese businesses, especially SMEs, have great potential and need support to access information and investment resources to boost their advantages in competing with both domestic and foreign competitors. The USAID hopes to bring useful information to help Vietnamese electronics businesses participate in global value chains within the electronics industry, Ron Ashkin said.

During the exhibition, the IPC Hand Soldering Competition 2019 was held to select the most skilled professional in

this field and encourage manufacturers to develop staff skills to meet the standards of the global electronics industry.

Nguyen Huong