Semiconductor packaging and testing service provider Amkor announced today that it plans to build a smart factory in Bac Ninh, Vietnam. The first phase of the new plant will focus on providing SiP assembly and testing solutions for the world's leading semiconductor and electronics manufacturing companies.

Giel Rutten, President and CEO of Amkor, said, “This is a strategic long-term investment in geographic diversification and factory capacity expansion, supporting the company’s commitment to provide customers with reliable supply chain solutions. Factory utilization is high, especially in our For advanced packaging sites, we expect strong market demand for assembly and test solutions to continue to grow. Investing in Beining has expanded our manufacturing footprint to support customer demand for advanced SiP and cheaper supply chain solutions, as well as other packaging solutions in the future. Demand. Bac Ninh’s support and sufficient labor make it the best choice for this expansion. We expect this new facility will become an important part of our assembly and testing network in the future."

Rutten added: “The Bac Ninh factory located in Yen Phong 2C Industrial Park has a site of approximately 230,000 square meters and approximately 57 acres, providing us with space for the first phase and future expansion. The clean room space for the first phase is expected to be Construction will start in 2022, and it is currently estimated to be 20,000 square meters. According to the estimated customer product cycle, mass production is expected to start in the second half of 2023."

Megan Faust, Executive Vice President and CFO of Amkor, said: "In the past few years, our financial position has improved significantly, which allows us to make similar investments with cash on hand. Our investment in the first phase of this facility is expected to be between 200 million and 250 million. Between the U.S. dollar, the phased expansion of the facility over time will allow us to balance utilization and profit growth, and manage the expansion within a reasonable capital intensity."