Illustrative image (Photo: VNA)Hanoi (VNA) – Vietnam’s industrial production indexexpanded by only 6.2 percent in the first two months of this year due to theimpact of COVID-19 outbreak, much lower than 13.7 percent and 9.2 percent inthe same period of 2018 and 2019, respectively.
Of which, manufacturing and processing sector grew by 7.4percent, contributing six percentage points to the index. Electricityproduction and distribution sector expanded by 8.4 percent, while water supplyand waste treatment sector up 4.9 percent.
Mmining sector posted a 3.7 percent decrease in growth. Other under-performed sectors included crudeoil and natural gas exploitation, down 8.6 percent, and wood processing and woodenfurniture, down 5.2 percent.
Sectors posted higher growth compared to the same periodlast year were metal ore exploitation, up 25.4 percent; and coke and refinedpetrol, up 18.6 percent.
Speaking at a meeting recently held in Hanoi, head of the Ministryof Industry and Trade’s Industry Department Truong Thanh Hoai said Vietnam’smanufacturing and processing sector largely relies on materials and spare partsimported from China, the Republic of Korea and Japan, which are hard-hit by theoutbreak, for production.
Last year, Vietnam spent 40 billion USD on importingelectronic spare parts from the above three countries. Domestic firms now haveenough materials for production till mid- or late March.
In the same situation, almost textile and footwear firms alsohave sufficient materials till early March or early April.
In case they are forced to temporarily suspend part of orfull operations due to the shortage of input materials, they must incur credit rates,machinery maintenance costs and salaries for workers, he said./.
Of which, manufacturing and processing sector grew by 7.4percent, contributing six percentage points to the index. Electricityproduction and distribution sector expanded by 8.4 percent, while water supplyand waste treatment sector up 4.9 percent.
Mmining sector posted a 3.7 percent decrease in growth. Other under-performed sectors included crudeoil and natural gas exploitation, down 8.6 percent, and wood processing and woodenfurniture, down 5.2 percent.
Sectors posted higher growth compared to the same periodlast year were metal ore exploitation, up 25.4 percent; and coke and refinedpetrol, up 18.6 percent.
Speaking at a meeting recently held in Hanoi, head of the Ministryof Industry and Trade’s Industry Department Truong Thanh Hoai said Vietnam’smanufacturing and processing sector largely relies on materials and spare partsimported from China, the Republic of Korea and Japan, which are hard-hit by theoutbreak, for production.
Last year, Vietnam spent 40 billion USD on importingelectronic spare parts from the above three countries. Domestic firms now haveenough materials for production till mid- or late March.
In the same situation, almost textile and footwear firms alsohave sufficient materials till early March or early April.
In case they are forced to temporarily suspend part of orfull operations due to the shortage of input materials, they must incur credit rates,machinery maintenance costs and salaries for workers, he said./.
VNA
