Taiwan’s AVC plans $500 M Vietnam investment and R&D centre amid AI cooling demand
Taiwanese cooling-system manufacturer Asia Vital Components (AVC) is planning to invest approximately $500 million in Vietnam and establish a research and development centre as demand for AI server cooling continues to rise.
The company presented its investment plans for Bac Ninh province during a meeting with local authorities on Tuesday. AVC already has three projects in the province, representing a combined investment of $760 million.
AVC expands its Vietnam footprint
AVC has been investing in Vietnam since 2020 and currently operates two manufacturing facilities alongside a staff accommodation project.
The additional investment is expected to be made in 2027. If completed, it would take AVC’s total investment in Vietnam beyond $1.26 billion.
The planned R&D centre will focus on developing skilled talent in semiconductors and other advanced technology fields, according to AVC.
Bac Ninh authorities said the province would support the proposed projects, including by assisting with infrastructure, workforce development, administrative procedures and tax incentives.
Bac Ninh strengthens its high-tech base
Located in northern Vietnam, Bac Ninh has emerged as an important industrial and manufacturing centre. The province is home to around 3,700 foreign-invested projects with a combined value of approximately $52 billion.
Major electronics and high-tech companies operating in the province include Samsung, Foxconn, Luxshare, Amkor and Canon.
AVC, founded in Taiwan in 1991, manufactures heat sinks, fans and liquid-cooling solutions used in computers, servers and telecommunications equipment.
The company has increasingly benefited from the expansion of AI computing, as high-performance AI chips consume substantial amounts of power and generate greater heat, increasing demand for advanced cooling technologies.
AVC generated approximately $4.4 billion in revenue in 2025 and employs more than 46,000 people globally, including around 14,000 employees in Vietnam.
