The electronic component industry is the supporting industry which is important to the development of the electronics.
World’s Total production value has surged since 2012 but seemed to slow down in 2014 and it was 578 billion USD in 2015. This is due to the USD rising along with the interest expectation while the American economy is slow down, which affect the industry development. Besides, the outputs industry - Electronic industry also slowed down due to the plummet of oil price since the second half of 2014.
The global electronics market has long been controlled by developed economies like America, Japan, and some EU countries. Following countries struggled in accessing and participating into the market. In order to do this, they have to pass multinational companies. In the last decade, India and China are named the global workshops; however, recently with the emergence of Vietnam, multinational companies are considering the plant movement to Vietnam due to low labor cost and investment and trade incentives.
In 2014, electronics industry production value was 403 thousand billion VND, accounting for 9.5% in value of the entire industry.
Vietnam’s electronic component industry is young and just operates in the outsourcing aspect through importing basic electronic parts and then assembling to specialized ones and then export. Hence the added value is low, only 5-10% mainly due to the advantage of low cost of labor.
Supporting industry and component production in Vietnam are not yet developed because of the high capital investment requirement. In addition, for a long time, component import tax is below 5% (according to AFTA and WTO), lower than the tariff of import goods to produce the components; hence, leads to the increasing imbalance between assembling and component production.
With the participation of Vietnam into many FTAs in upcoming time, notably TPP, will attract foreign investment strongly, incenting direct investment capital source and the technology transfer, improve management skills, and raise efficiency of business. As the capital continues to flow and Vietnam becomes the choice of many big companies such as Electronics Viet Nam, Samsung, United More SDN.Bhd (Malaysia), Vietnamese enterprises will have the chance to receive the technology transfer from FDI. However, joining TPP allows to less requirements of imports, tariff will be reduced to 0%, making import goods very cheap and will pressure down domestic companies. If Vietnamese policy makers cannot navigate correctly and companies don’t put their efforts to meet demand of TPP market, Vietnam market will be lost to FDI and imported goods.
Our reports have been used by over 10K customers, including:
The global automotive telematics market is projected to reach values of approximately $130 billion by 2024, growing at a CAGR of more than 15% during 2018-2024. The market research report also offers market share analysis in terms of unit volume during the forecast period. The increasing use of electronics such as collision avoidance...
300 pages •
By The Business Research Company
• Jan 2019
Computers Market Global Report 2019 from The Business Research Company provides the strategists, marketers and senior management with the critical information they need to assess the global computers market. Reasons to Purchase • Gain a truly global perspective with the most comprehensive report available on this...
125 pages •
By Infiniti Research Limited
• Jan 2019
About this market Smart railways gaining popularity to trend in the market. The increase in air traffic and road transport congestion has made rail transport a superior alternative in emerging economies such as India and China. Rails are safer and provide a more credible and competitive alternative compared with road and...
Leading Sensor Suppliers to OEMs For ADAS Applications (ACC, AEB, AFL, BSM, DMS, FCW, HUD, ISA, LDW, NVS, PDS, PA, RSR, SVC) & Sensors (LIDAR, IR, SRR-MRR, LRR, Cameras (Stereo, Mono, RVC, SVC), Ultrasonic) & the Roadmap Towards Self-Driving, Driverless, & Autonomous Vehicles (AV) - Do you need definitive Automotive...
Report Scope: This report provides an updated review of sputtering technologies and a description of various types of sputtering targets and their fabrication methods and identifies current and emerging applications for these technologies. BCC Research delineates the current market status for sputtering targets,...
209 pages •
By Transparency Market Research
• Jan 2019
Medical Dynamometer Market: Overview This report analyzes the current and future scenario of the global medical dynamometer market. High prevalence of orthopedic surgeries, increase in arthritic patients, rise in ergonomic health approaches, surge in research and development initiatives, and rise in demand for diagnostic...
457 pages •
By Transparency Market Research
• Jan 2019
Generator Sales Market - Overview Generators are machines that convert mechanical energy into electrical energy.The study includes mobile or portable generators as well as permanent generators. However, this study covers generators that are sold by manufacturers to customers and does not include revenue generated...
The Global Servo Motors and Drives Market is poised to grow strong during the forecast period 2017 to 2027.. Some of the prominent trends that the market is rising adoption of energy-efficient international standards and growing requirement from automotive industry for servo drives and motors market. By Communication...
Test and measurement equipment market to grow at a CAGR of 3.90% from 2018 to 2024 The overall test and measurement equipment market is expected to grow from USD 25.7 billion in 2018 to USD 32.3 billion by 2024, at a CAGR of 3.90%. The market is growing due to the increasing demand for this equipment in end-use sectors,...
359 pages •
By Global Industry Analysts
• Dec 2018
This report analyzes the worldwide markets for Calibration Services in US$ Thousands by the following End-Use Sectors: Electronic Manufacturing, Communication, Aerospace & Defence, Industrial & Automotive, and Others. The global market is further analyzed by the following Parameters of Calibration: Mechanical Calibration...
You can change your Cookie Settings at any time but parts of our site will not function correctly without them.