Samsung Electro-Mechanics boosts Vietnam FC-BGA capacity with $1,2B investment

Samsung Electro-Mechanics boosts Vietnam FC-BGA capacity with $1,2B investment

Samsung Electro-Mechanics is said to be planning a large-scale investment in Vietnam to strengthen its semiconductor substrate production capacity.

According to Bloomberg and others on the 14th, Samsung Electro-Mechanics is understood to be planning to invest $1.2 billion (about 1.8 trillion won) in its Vietnamese manufacturing subsidiary to expand production capacity for the high value-added substrate flip-chip ball grid array (FC-BGA).

Samsung Electro-Mechanics is said to have obtained an investment registration certificate from the Vietnam Foreign Investment Agency for FC-BGA production, a high value-added semiconductor substrate. FC-BGA is a core substrate mounted in artificial intelligence (AI) servers and high-performance semiconductors, and supply shortages are intensifying as demand has surged recently. Samsung Electro-Mechanics supplies FC-BGA to global big tech corporations such as Tesla, Amazon, and Meta.

The investment is comparable in size to the $1.2 billion invested when the Vietnamese manufacturing subsidiary was established in 2013. Samsung Electro-Mechanics has been producing FC-BGA in Vietnam since 2024 and plans to significantly expand FC-BGA production capacity through this investment.

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Samsung Electro-Mechanics boosts Vietnam FC-BGA capacity with $1,2B investment, source