According to the ministry’s assessment, Vietnam’s industrial sector is recovering

According to an assessment by the Ministry of Industry and Trade, Vietnam’s industrial production is showing signs of recovery and growth despite persistent challenges.

The ministry anticipates a significant improvement in business prospects for industry players in the coming months, driven by rising global demand and supportive government measures.

Industrial production showed signs of recovery and positive growth despite challenges, said the Ministry of Industry and Trade. Ministry reports show that in the period January-April the industrial production index increased by approximately 6%. compared to the same period last year. In particular, the manufacturing and processing sector grew by 6.3%.

Ministry reports show that in the period from January to April, the industrial production index increased by 6%. compared to the same period last year, even though the production and processing sector in particular grew by 6.3%, which resulted in an increase of 5.5%. overall growth.

This positive trend is attributed to several factors, including effective government support measures, increased foreign direct investment (FDI) inflows increasing domestic production capacity, gradual global market recovery and adaptation to disruptions in 2022 and 2023, and a sharp increase in new export orders .

Moreover, the potential of enterprises, especially domestic ones, has strengthened, supported by a stable macroeconomic environment and the recovery trajectory on the global market.

Dao Phan Long, chairman of the Vietnam Mechanical Industry Association, stressed that continued efforts by developed countries to diversify supply sources, supply chains and investments will position Vietnam as a significant production and export hub in the global value chain.

However, the global economic outlook for 2024 predicts weak growth, high inflation and regional geopolitical tensions, even though Vietnam’s participation in multiple free trade agreements and its open economy expose it to the potential negative impacts of these risks.

The ministry pledged to accelerate the disbursement of public investments and resolve outstanding issues to quickly implement key projects in the electricity, oil and gas, manufacturing, processing and mining sectors.

This initiative aims to rapidly increase market potential for business development.

Fiber2Fashion Information Desk (DR)