Brian Jeffrey
In a move to bolster the semiconductor industry, Da Nang has unveiled a range of incentives designed to attract investors. Ho Ky Minh, Vice Chairman of the Danang People’s Committee, stressed the importance of this industry as a key driver for the city’s economic development, particularly following the recent enhancement of the strategic partnership between Vietnam and the United States.
The strategy to develop the semiconductor industry in Da Nang focuses on three core areas: policy, human resources, and infrastructure. A key highlight is the passing of Resolution 136 by the National Assembly, offering special mechanisms and policies for urban governance in Da Nang to lure strategic investors in the semiconductor sector.
Investment policies include provisions such as land leases for strategic investors without auctions, deductions on R&D costs for corporate income tax calculations, preferential customs procedures, and support for purchasing production equipment and new investment projects.
Businesses meeting specified requirements can benefit from tax exemptions on corporate and personal income for investments in semiconductor, artificial intelligence, and technology sectors, as well as for innovative startups.
Emphasizing the importance of human resources, Da Nang aims to train and support individuals in the semiconductor industry. The city plans to cover training costs, provide living allowances, and offer other benefits for students and professionals in this field.
Infrastructure plays a vital role in semiconductor industry development, with Da Nang focusing on attracting investment in high-tech zones and IT areas. Project expansions and the establishment of specialized semiconductor production infrastructure within Free Trade Zones are also in progress to enhance the semiconductor supply chain.
