Vietnam industrial production up 7.7% in H1

Vietnam’s index of industrial production (IIP) grew 10.9% in June from the previous month and 7.7% in the first six months year-on-year, the General Statistics Office (GSO) reported Saturday.

The H1 growth was driven by an 8.5% increase in the manufacturing-processing sector, 13% in electricity production and distribution, 6.3% in water supply and waste-wastewater treatment. However, the mining sector fell 5.5%.

The sub-sector of electronics, computers, and optical products recorded a growth of 8.6%, above the average of the whole industrial sector. Some key sub-sectors with below-average performances were food processing with 6.5%, beverage with 0.5%, oil and natural gas exploitation with negative 11.7%.

Notably, beer production in the first half of 2024 went down 4.1% year-on-year to 2.14 billion liters. June production was 385.3 million liters, down 8.9%.

Earlier this month, Heineken Vietnam Brewery Limited Company (Heineken Vietnam) suspended operations of its factory in the central province of Quang Nam, citing multiple challenges in the local market.

Seven localities recorded worse year-on-year performances in January-June, the worst ones being the central province of Quang Ngai with negative 7.6%, the northern province of Son La with a 4.1% contraction, and the central province of Ha Tinh with a 3.2% decrease.

Ba Ria-Vung Tau province, the second-biggest recipient of registered FDI so far this year, recorded negative growth of 0.8%, driven by a negative 13.9% growth in the mining sector.