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Samsung to build a 1.5 billion dollar semiconductor test plant in Vietnam, with operations starting in 2027

2026.06.11

This article is based on what we could verify As of August 1, 2026 This article is based on public materials and news reports from Vietnam. Vietnam's tax system, regulations, and administrative divisions change frequently, so information here may have been updated since publication. For actual business decisions, please confirm the latest details with the relevant government authorities or local experts as primary sources.

Samsung Electronics will build a new semiconductor test plant in northern Vietnam Thai Nguyen Province. The investment will be USD 1.5 billion (about VND 39 trillion), and it is targeting an operational launch in November 2027. This was reported in May 2026 based on documents obtained by Reuters, marking Samsung's first semiconductor test facility in Vietnam.

This is not a front-end facility that manufactures wafers, but a back-end facility specialized in testing finished memory chips. The aim is to secure the supply of legacy memory, which is in tight supply due to demand from AI data centers.

USD 1.5 billion test plant, 60km north of Hanoi

The construction site is in an industrial park in Thai Nguyen Province, about 60km north of Hanoi, adjacent to the smartphone and tablet manufacturing base Samsung already operates. Vietnamese authorities approved the investment in March 2026, and since April, more than 200 Samsung engineers and staff have been working on site. Reuters reporters said they confirmed heavy machinery and workers on site during a visit.

The star of the show is "legacy memory": DDR4 and LPDDR4

What this plant handles is not cutting-edge products but legacy (older-generation) memory products such as DDR4 and LPDDR4. As manufacturers have redirected their latest production lines toward AI chips, general-purpose memory for smartphones, laptops, and automobiles has fallen into short supply. Expanding test capacity in Vietnam is meant to address this supply crunch.

Investment and operation schedule at a glance

Item	Description
Investment amount	USD 1.5 billion (about VND 39 trillion / about JPY 230 billion)
Construction site	Thai Nguyen Province (about 60km north of Hanoi)
Facility type	Semiconductor test plant (back-end / inspection)
Regulatory approval	March 2026
Target launch	November 2027
Expected capacity	DRAM 153.3 billion gigabits / NAND 255.6 billion gigabits (annual)
Second plant concept	Up to an additional USD 2.5 billion depending on profitability

*Yen conversions are rough estimates at USD 1 = approx. JPY 155. Exchange rates may vary.

Samsung's cumulative footprint in Vietnam tops USD 23 billion

Samsung has invested more than USD 23 billion in Vietnam over several decades. Having built a major smartphone production base, it will now expand into testing as well. While front-end processes (wafer manufacturing) remain mostly in Korea and elsewhere, the trend of locating back-end processes in Vietnam can be seen as a move pushing the country toward the core of the electronic components supply chain.

Impact on companies operating in Vietnam

The arrival of a semiconductor test hub is a business opportunity for surrounding parts, equipment, and logistics suppliers. Thai Nguyen Province attracted USD 5.4 billion in registered foreign investment in Q1 2026, topping the country in FDI attraction. As concentration in northern industrial parks accelerates, Japanese companies considering entry into Vietnam are increasingly prioritizing the north, including Thai Nguyen Province, as a hinterland for the semiconductor and electronic components cluster.

A long-term move with an eye on a second plant

Samsung plans to reinvest the profits from this project and is also considering building a second plant on the scale of up to USD 2.5 billion. The structure in which memory supply and demand skews toward AI is expected to continue for the time being, and building up strong memory testing capacity in Vietnam directly contributes to stabilizing the supply chain as a whole.

Conclusion

Samsung's USD 1.5 billion test plant is a landmark investment pushing northern Vietnam toward becoming a hub for semiconductor back-end processes. With operations targeted for November 2027, the presence of the north, including Thai Nguyen Province, will grow even further for surrounding suppliers and companies entering the market.