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Intel’s planned expansion in Vietnam has been put on ice

A planned exapansion of Intel’s Vietnam operations will no longer go ahead, according to Reuters. Intel was set to nearly double its operations in the Southeast Asian nation according to the publication.

Why it matters: Vietnam has been pushing semiconductor manufacturing as a key step toward its high-tech manufacturing dream. But there are a number of hurdles in its way particularly with respect to the high-skilled human resources semiconductor manufacturing requires. This has not been lost on foreign firms either and there is little appetite to develop Vietnam-based semiconductor manufacturing facilities beyond assembly, testing, and packaging–all relatively low value segments of the supply chain.

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