The Ministry of Industry and Trade has just sent a report assessing the implementation of the 2024 plan and the 2025 plan of the Industry and Trade sector to the Ministry of Planning and Investment. According to the report, the Ministry of Industry and Trade highly appreciated the results achieved by the industry in the first 6 months of 2024. Specifically, according to the Ministry of Industry and Trade, following the recovery momentum from the end of 2023, in the first months of 2024, industrial production showed improvement and contributed positively to the overall growth results of the whole economy.

In the first 6 months of 2024, the IIP index increased by 7.7% over the same period last year (Photo: ST)

The total added value of the entire industry in the first 6 months of 2024 is estimated to increase by 7.54% over the same period last year, with each quarter higher than the previous quarter (the first quarter increased by 6.47% and the second quarter increased by 8.55%). In particular, the processing and manufacturing industry affirmed its leading role with a growth rate of 8.67% (the first quarter increased by 7.21% and the second quarter increased by 10.04%), contributing 2.14 percentage points to the total added value growth of the entire economy; the electricity production and distribution industry increased by 13.26%, contributing 0.5 percentage points.

Vietnam's manufacturing purchasing managers' index (PMI) rose sharply to 54.7 points in June, compared to 50.3 points in May, indicating that manufacturing momentum improved for the third consecutive month. As a result, the industrial production index (IIP) in June 2024 increased by 10.9% year-on-year. Of which, the processing and manufacturing industry is estimated to increase by 12.6%; the electricity production and distribution industry increased by 13.7%; and the mining industry alone decreased by 7.7%.

In the first 6 months of 2024, the IIP index increased by 7.7% over the same period last year. Of which, the processing and manufacturing industry is estimated to increase by 8.5%; the electricity production and distribution industry increased by 13%; the water supply, waste and wastewater management and treatment industry increased by 6.3%; and the mining industry alone decreased by 5.5%.

Industrial production grew broadly with 56/63 localities having an industrial production index increasing compared to the same period last year. Of which, 25 localities had high double-digit growth such as: Khanh Hoa increased by 46.4%; Bac Giang increased by 26.5%; Hai Phong increased by 15.2%; Quang Ninh increased by 13.3%...

The production index in the first 6 months of 2024 of some key secondary industries increased sharply compared to the same period last year, such as the production of rubber and plastic products increased by 29.0%; the production of beds, cabinets, tables and chairs increased by 19.8%; the production of chemicals and chemical products increased by 18.5%;...

The consumption index of the entire processing and manufacturing industry in the first 6 months of 2024 increased by 10.8% compared to the same period in 2023. The inventory index of the entire processing and manufacturing industry is estimated to increase by 7.6% as of June 30, 2024 compared to the same period last month and by 9.6% as of the same period last year. The average inventory ratio of the entire processing and manufacturing industry in the first 6 months of the year was 76.9%, down from the average of 83.1% in the first 6 months of 2023.

The Ministry of Industry and Trade assessed that in the first months of the year, the consumption index of the entire processing and manufacturing industry was much higher than the same period last year, while the inventory index decreased, which are positive signs showing the recovery of industrial production. At the same time, the number of workers working in industrial enterprises as of June 1, 2024 increased by 1.1% compared to the same period last month and increased by 3.8% compared to the same period last year. This shows that the number of new orders increased, and manufacturing enterprises needed to increase output and the number of workers.

The Ministry of Industry and Trade assessed that in 2024, the world is forecast to continue to have major and unpredictable changes with many intertwined opportunities and challenges. In particular, the instability and uncertainty of the global economy will affect macroeconomic stability and growth prospects of our country's highly open economy in the coming time.

However, in the first months of the year, industrial production is showing signs of strong recovery compared to the same period in 2023 and continues to maintain a positive trend. The processing and manufacturing industry has returned to playing a leading role in growth. Industrial production has basically grown in most localities and created effective jobs for society. The production capacity of domestic industrial enterprises has recovered positively, the confidence of domestic and foreign manufacturing enterprises has been strongly strengthened... Accordingly, the Ministry of Industry and Trade forecasts that achieving the target of industrial production index in 2024 of 7-8% is achievable.