The Dominican Republic is emerging as an investment destination for the global semiconductor and printed circuit board industry, particularly for the microchip assembly, testing and packaging (ATP) sector. The Foundation for Information Technologies and Innovation (ITIF) based in Washington, DC conducted a feasibility study on the country’s potential to participate in the semiconductor value chain, and indicates that the country has the conditions to become a strategic player for emerging technology industries.
Industry & Commerce Minister Víctor “Ito” Bisonó traveled to Washington for the presentation of the results of the feasibility study.
In the presentation of the ITIF report, called Assessing the Dominican Republic’s Readiness to Play a Greater Role in Global Semiconductor and PCB Value Chains,” Minister Bisonó was accompanied by representatives of business associations, the National Council of the Private Business (Conep), the Association of Industries of the Dominican Republic (AIRD), the Dominican Association of Free Zones (Adozona) and the American Chamber of Commerce (AmCham).
Also accompanying him were the former ambassadors in Washington, the economist Bernardo Vega and Aníbal de Castro, executive director of the Diario Libre newspaper.
Presentations included officials from the US Department of Commerce’s CHIPS Office, multinational technology companies, industry associations, and other experts.
Bisonó stressed that in the current global context, in which value chains around the world are experiencing a rapid and growing transformation, the Dominican Republic has much to offer and gain.
“This panorama, combined with the interest of the Government headed by President Luis Abinader, to take advantage of this situation and ensure that our country becomes a nearshoring destination for the global semiconductor and electrical circuit board industry and, in particular, for the assembly, testing and packaging (ATP) of the microchips, was what led us from the Ministry of Industry, Commerce and MSMEs to commission the Foundation for Information Technologies and Innovation, the preparation of a feasibility study on the potential of the Dominican Republic to participate in this important industry actively,” said Bisonó.
The study results were prepared and presented by Stephen Ezell, vice president of ITIF. The results highlight that the Dominican Republic, one of the region’s main foreign investment destinations, offers a favorable environment for investments in the semiconductor industry.
The report makes it clear that the country is well-positioned to become a strategic ally of the United States in the semiconductor industry and a safe investment destination for attracting investments linked to that industry.
Bisonó added that the event marks a milestone in the efforts made by the government of President Luis Abinader to diversify the economy, climb the value chain of advanced technologies, and create new and better jobs in the country.
He argued that the semiconductor industry is vital to the development of modern life and that it is prepared to continue growing in the next decade, which is why it is expected to become a trillion-dollar industry by 2030.
The goal of the Dominican Republic is to position itself as an alternative, close and reliable option for the assembly, testing and packaging (ATP) facilities in the hemisphere.
Bisono said that the DR is the first country in the Americas to present a feasibility report on semiconductors. He called for the support of the United States’ Department of Commerce and Department of State to attract the industry to the Dominican Republic.
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Ministry of Industry & Commerce
ITIF
31 January 2024