HCMC – The index of industrial production (IIP) of Hanoi in September rose by a slight 0.7% versus August and 3.5% year-on-year.
The manufacturing and processing sector in the month expanded by 1.2% against August and 3.1% over last September. In contrast, electricity production and distribution declined by 4.4% month-on-month but increased by 6.5% year-on-year.
The water supply and waste management sectors reported growth of 2.1% month-on-month and 5.7% year-on-year. Mining decreased by 3.6% versus the previous month and 7.6% over September 2022.
The IIP in the third quarter showed a 3% increase compared to the same period last year. Notable sectors include beverage production, which rose by 13.9%, and machinery repair and maintenance inched up by 12.9%. However, machinery and equipment manufacturing declined by 13.6%, and the production of leather-related products fell by 12.5%.
In the first nine months of 2023, the IIP grew by 2.6% year-on-year. Beverage production increased by 19.6%, machinery repair and maintenance by 17.2%, and pharmaceuticals by 14.2%. On the downside, machinery and equipment manufacturing dropped by 26.2%, and the textile industry declined by 4.8%.
The labor force at industrial enterprises increased by 0.1% at the end of September compared to the previous month but decreased by 2.8% year-on-year. Overall, labor utilization in industrial enterprises declined by 3.6% compared to the same period in 2022.
Faced with global trade slowdowns and rising input costs, Hanoi is taking steps to mitigate the impact on its industrial sector. The city is streamlining administrative procedures and focusing on attracting clean industries.