HA NOI — The nation's Index of Industrial Production (IIP) increased 4.8 per cent in the first seven months of this year over the same period last year, the General Statistics Office reported.
|Workers of 4P Co in the northern province of Hung Yen assemble TVs. Sales of consumer electronics grew significantly at 40.5 per cent in the first seven months of the year. — VNA/VNS Photo Danh Lam
This was the lowest increase of the industrial index over the last three years but the highest since the beginning of this year, following a year-on-year increase of 6.1 per cent in July alone.
GSO economic specialists said industrial production had shown signs of recovery after a prolonged downturn and this proved the Government's financial measures – including interest rate cuts and a VND29 trillion (US$1.4 billion) support package – to stimulate production had taken effects.
The manufacturing and processing area, which represents up to 70 per cent of all industrial production values, posted the highest consumption index growth at 5.9 per cent in seven months, while it was only around 3.5 per cent in April and May, and 0.2 per cent in the first two months.
Consumption of engined-vehicles expanded significantly at 70.3 per cent, followed by garments at 41.7 per cent and electronic products at 40.5 per cent.
Several areas posted significant declines, however, such as electrical cables and wires at 59.8 per cent, fertilisers at 34 per cent and footwear at 12.6 per cent.
On July 1, the inventory index grew 20.2 per cent, remaining a worrying level according to GSO specialists, although this index had fallen significantly compared to a peak of 34.9 per cent in March.
Areas witnessed high inventory increases, including iron and steel at 48.7 per cent, cement at 34.4 per cent, and animal feed and seafood at 32.1 per cent. — VNS