Illustrative Image (Source: VNA) Hanoi (VNA) – Vietnam saw stronggrowth in its industrialproduction index (IIP) in the firstseven months of 2018 thanks to the expansion of many major economic sectors,especially processing and manufacturing, which recorded the highest expansionin the recent seven years.
According to the General Statistics Office, the IIP in July grew 14.3 percentover the same period last year, pushing total growth in the first seven monthsto 10.9 percent, higher than 7.1 percent inthe same time last year.
Particularly, the processing and manufacturing industry maintained highgrowth at 13.1 percent, contributing 9.9 percentage points to total expansion.It was followed by power manufacturing and production which increased 10.7 percent.
Some sectors in the secondary industry(dominated by the manufacturing of finished products) also saw high growth, suchas refined oil production (up 64.1 percent), mineral mining support services(up 25.2 percent) and electronics, computers and optical products (up 16.4 percent).
Many primary products rose substantially againstthe same period last year, including crude steel (up 41.1 percent), passengercars (32.9 percent), liquefied petroleum gas (up 32.7 percent), syntheticfibres (up 19.1 percent), refined sugar (up 18.9 percent), seafood feed (up18.5 percent) and televisions (up 14 percent).
However, some products saw declines inproduction due to lower demand, such as crude oil (down 11.3 percent), mobilephones (down 0.9 percent) and urea fertiliser (down 3.5 percent).
All 63 cities and provinces posted higher growthin industrial production against 2017’s corresponding period, of which Ha Tinh ledwith growth of 149.3 percent, thanks to the steel manufacturing by Formosa Ha TinhSteel Corporation, followed by Thanh Hoa (where Nghi Son Refining andPetrochemical LLC started operations).
The GSO reported that as of July 1, 2018, the number of labourersworking in the industrial sector increased 3 percent from the same period lastyear, with a 0.3 percent rise in the State-owned sector, 3.6 percent in thenon-State-owned sector and 3.1 percent in the foreign direct investment sector.
In the first seven months of 2018, processingand manufacturing was the most attractive sector for investors, luring morethan 13.6 billion USD of foreign direct investment.
The GSO predicted that in the rest of the year,the IIP may slow down, reflecting the increasing importance of sustainabledevelopment.
The office recommended strengthening connectivityamong businesses and the enhancement of their capacity to join supply chains,thus making industry grow more sustainably.
Along with promptly implementing targets statedin Resolution 23-NQ/TU of the Party Central Committee on building industrialpolicies, it is necessary to continue reducing business conditions, simplifyingadministrative procedures, enhancing the quality of online public services and usingadvanced technology to boost the growth of industry.
The office also stressed the need to handle stagnantand ineffective projects by the end of 2018, thus giving more resources to thedevelopment of industry.-VNA
VNA
