Decision No. 75/2007/QD-TTg dated May 28, 2007 of the Prime Minister approving the master plan on development of Vietnam's electronics industry up to 2010, with a vision toward 2020

 APPROVING THE MASTER PLAN ON DEVELOPMENT OF VIETNAM'S ELECTRONICS INDUSTRY UP TO 2010, WITH A VISION TOWARD 2020

Pursuant to the December 25, 2001 Law on Organization of the Government;

Pursuant to the June 29, 2006 Law on Information Technology;

At the proposal of the Minister of Post and Telematics,

DECIDES:

Article 1.- To approve the master plan on development of Vietnam's electronics industry up to 2010, with a vision toward 2020, with the following principal contents:

I. DEVELOPMENT VIEWPOINTS AND OBJECTIVES

A. VIEWPOINTS

1. To develop the electronics industry into an important industry of the economy in the direction of satisfying export and domestic consumption demands and contributing to accelerating the process of national industrialization and modernization.

2. To encourage various economic sectors to invest in electronics industry in different scopes and forms, from assembly of finished products to manufacture of accessories, spare parts and subsidiary products, attaching special importance to attracting foreign investment from transnational conglomerates.

3. In the coming time, domestic enterprises will develop through restructuring their production towards development of specialized electronics, including the manufacture of products, accessories, spare parts and subsidiary products for informatics, telecommunications, medical electronics, industrial electronics, mechanical electronics, measurement and automation.

4. Development of human resources to meet qualitative and quantitative requirements constitutes an important factor in the development of electronics industry in Vietnam.

B. DEVELOPMENT OBJECTIVES

1. General objectives

To develop Vietnam's electronics industry in service of national industrialization and modernization as well as defense and security tasks, and to become competitive in the regional and world markets.

2. Objective by 2010

The industry will achieve a production turnover of USD 4-6 billion and an export turnover of USD 3-5 billion, create 300,000 jobs, and grow at an annual rate of between 20% and 30%.

3. Vision toward 2020

a/ Electronics industry will become a motive force for development, making great contributions to export.

b/ To create 500,000 jobs and build a contingent of engineers and technicians with international qualifications.

c/ Domestic manufacture will be capable of satisfying most of the market demand and not depend on imported products.

d/ Subsidiary industries will be developed to meet domestic manufacture and export demands.

e/ Manufacturing establishments will be located rationally according to regional development orientations.

II. DEVELOPMENT ORIENTATIONS

1. Orientations on products and product structure

a/ The group of products to be developed includes: computers and peripheral devices; information-telecommunications products; products of medical electronics, industrial electronics, measurement and automation; accessories, spare parts and subsidiary products.

b/ To raise the proportion of special-use electronic products, spare parts and accessories by promoting the manufacture and assembly of special-use electronic products and hi-tech products in order to improve enterprises' technology capacity.

c/ To develop the production of electronic materials, a domain in which Vietnam has many advantages in terms of resources. To prioritize the development of some subsidiary industries such as template treatment, casting, plastic pressing, metal piercing, and surface treatment (painting, plating, etc.) in service of the manufacture of spare parts and accessories for the electronics industry.

2. Orientations on market

To diversify and raise the competitiveness of, products in order to satisfy the domestic market and approach to the regional and world markets. To concentrate efforts on studying and developing products of high added value and competitiveness in the region and world.

3. Orientation on human resources

The State encourages all economic sectors in society to participate in the development of human resources to meet development requirements of electronics industry. To develop human resources through training:

a/ Experts in designing, researching and developing new products of high added value and competitiveness so as to meet the demands of the regional and world markets;

b/ Qualified technological engineers who are capable of receiving and effectively applying advanced technologies in Vietnam, and creating new technologies;

c/ A contingent of skilled workers who are directly engaged in production activities and ensure product quality;

d/ Good middle-ranking managers who are capable of effectively managing production processes.

4. Orientations on research, designing and development of products and technologies

To research and design civil and special-use electronic products, spare parts and accessories of moderate complexity and diversified designs, so as to meet the market demand and raise product competitiveness.

To continue building and training a contingent of experts in researching, designing and developing hi-tech products of high intellectual content, making the full use of advantages in design, system integration and programming capacity to turn out products of higher added value.

To ensure close coordination among universities, research institutes and enterprises in order to make the full use of research capacity, equipment and results. To encourage the application of research results to production and business activities and support the development of new products.

To apply advanced technologies and receive technologies directly from foreign companies which have created source technologies without going through an intermediary, regarding economic benefits as the primary criterion.

5. Orientations on region-based development of electronics industry

To concentrate investment in the development of electronics industry in industrial parks and export-processing zones in key economic regions according to the Government's orientations on socio-economic development of these regions up to 2010, with a vision towards 2020.

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THE PRIME MINISTER

DECISION