Viet Nam's November IIP increases slightly

Friday, Dec 02, 2022 09:27

IIP surged 8.9 per cent in the processing and manufacturing industry in the first 11 months of this year. — Photo

Viet Nam’s index of industrial production (IIP) in November was estimated to edge up by 0.3 per cent over the previous month and 5.3 per cent over last November.

The growth rate tended to slow down due to declining orders, higher input costs and shortage of raw materials, according to General Statistics Office (GSO).

A recent survey conducted by GSO on the production and business activities of 6,500 enterprises showed many difficulties for all of them. Of which, they faced a strong reduction in orders of products, including export orders, leading to an increase in finished goods inventories. The lower orders made production slow, leading to lower efficiency of machinery and equipment.

The report found that 26 per cent of surveyed enterprises said that new orders would decrease, while 28 per cent believed that new export orders would go down.

About 21 per cent of the enterprises forecast an increase in finished product inventories and 25.6 per cent of them told that production activities will decrease, so capacity using machinery and equipment stands at about 72 per cent.

On the other hand, many enterprises said that it is very difficult to find input supply because the domestic and foreign markets are constantly facing shortages of raw materials and fuel.

In the first 11 months of 2022, the IIP was estimated to soar by 8.6 per cent on year, much higher than that of 4.2 per cent in the first 11 months of 2021.

Of which, IIP surged 8.9 per cent in the processing and manufacturing industry; 7.7 per cent in the electricity generation and distribution sector; 7.1 per cent in the water supply and waste-water treatment and management activities; and 6.5 per cent in the mining industry.

The production index in the first 11 months of a number of key industrial products increased sharply compared to the results in the same period last year.

Some key industrial products achieved a high growth rate in IIP, including beer (34.9 per cent); processed seafood and automobiles (17.3 per cent each); phone components (16.9 per cent); petrol and oil (12.9 per cent); chemical paint (12 per cent); steel products (11.8 per cent); motorbikes (10.8 per cent); leather shoes and sandals (9.7 per cent); and natural gas (9.1 per cent).

Meanwhile, some other products had a reduction in industrial production such as televisions (0.6 per cent); liquefied petroleum gas (LPG) (1.1 per cent); fabrics made from man-made fibers (1.7 per cent); aquatic feed (4.1 per cent); mobile phones (6.1 per cent); mixed fertiliser NPK (6.6 per cent); and iron and crude steel (16.6 per cent).

The IIP in 11 months of 2022 increased in 61 localities and decreased in two localities nationwide compared to the same period last year. Specifically, Tra Vinh Province dropped by 24 per cent, and Ha Tinh Province declined by 16.9 per cent.

The localities gained high growth rate in IIP included Bac Giang (38.3 per cent); Can Tho (37.8); Vinh Long (28.8 per cent; Quang Nam (23.9 per cent); Khanh Hoa (23 per cent); and Kien Giang (22 per cent).

The number of labourers working in industrial enterprises by November 1, 2022, inched up by 0.4 per cent compared to last month and 5.9 per cent over the same period last year. — VNS

Comments (0)