Index of industrial production in October of 2022

Industrial production in October August continued the trend of rapid recovery, estimated to increase by 3% over the previous month and by 6.3% over the same period last year as businesses were more proactive in terms of labor and production and business plans to overcome difficulties to recover and expand production. In the 10 months of 2022, the production index of the whole industry was estimated to increase by 9% over the same period last year [1].

The index of industrial production (IIP) in October was estimated to increase by 3% over the previous month [2] and up 6.3% over the same period last year. Of which, compared to the same period last year, the manufacturing increased by 5.7%; mining and quarrying increased by 6.3%; Electricity, gas, steam and air conditioning supply by 10.5%; Water supply; sewerage, waste management and remediation activities up 15.7%[3].

In general, in the 10 months of 2022 IIP was estimated to increase by 9% over the same period last year (in the same period in 2021 by 3.8%). Of which, the manufacturing increased by 9.6% (the same period in 2021 by 5.1%), contributing 7.4 percentage points to the overall growth; Electricity, gas, steam and air conditioning supply by 7.8%, contributing 0.7 percentage points; Water supply; sewerage, waste management and remediation activities increased by 6.6%, contributing 0.1 percentage points; the mining and quarrying increased by 5%, contributing 0.8 percentage points to the overall growth rate.

Production index for 10 months in 2022 of some 2 digit key industries increased sharply compared to the same period last year: Manufacture of beverage (31.5%); Manufacture of wearing apparel (19.2%); manufacture of leather and related products increased by (17.7%); Manufacture of pharmaceuticals, medicinal chemical and botanical products (17.5%); Manufacture of wood and of products of wood and cork (17.3%); Manufacture of machinery and equipment n.e.c (16.3%); Manufacture of electrical equipment (12.8%); Manufacture of other transport equipment (11%); manufature of paper and paper products (10.8%); Waste collection, treatment and disposal activities; materials recovery (10.2%); Manufacture of food products (9.7%). In the opposite direction, the IIP index of some industries decreased: Manufacture of basic metals (-1.5%); Manufacture of rubber and plastics products (-5.4%).

Industrial production index for 10 months in 2022 compared with the same period last year increased in 61 localities and decreased in 02 localities across the country. Some localities with IIP index achieved a relatively high increase due to the manufacturing; electricity production and distribution increased[4]. On the other hand, some localities have low or decrease IIP index because the manufacturing has not regained the high growth momentum as before the pandemic; Mining and quarrying and electricity production and distribution increase slowly or decrease[5].

Some key industrial products in the 10 months of 2022 highly increase compared to the same period last year : Beer (34.7%); Processed fishery products (19.1%); phone accessories (16.5%); automobiles (16.4%); Steel bars and corners (15.2%); chemical paint (11.1%); Clothes (10.7%). In the opposite direction, a number of products decreased compared to the same period last year: Extracted crude oil (-1.2%); television (-1.4%); liquefied gas (LPG) (-1.5%); Textile fabric from polyester or artificial yarn (-2.3%); aquatic feed (-3.8%); mobile phones

(-5.1%); N.P.K mixed fertilizer (-5.9%); Crude steel, iron (-15.3%).

The number of employees working in industrial enterprises as of October 1st, 2022 increased by 0.8% over the same period last month and by 10.2% over the same period last year. Of which, Labor in State-owned enterprises increased by 0.1% and decreased by 6.9%; non-state enterprises increased by 0.5% and 4.8%; foreign-invested enterprises increased by 1.1% and by 13.2%. By industry, the number of employees working in mining and quarrying increased by 0.1% over the same period last month and went up by 0.5% over the same period last year; manufacturing rose by 0.9% and by 10.9%; Electricity, gas, steam and air conditioning supply remained unchanged and increased by 1%; Water supply; sewerage, waste management and remediation activities increased by 0.1% and increased by 3.6%.

[1] The growth rate of  index of industrial production in the 10 months of 2018-2022 compared to the same period last year are:10.3%; 9.5%; 2.6%; 3.8%; 9.0%.

[2] The growth rate of the IIP index in October 2022 compared to the previous month of some large-scale industrial regions are: Ha Tinh increased 24.2%; Phu Tho increased by 18.4%; Hai Phong increased by 9.2%; Vinh Phuc increased by 6.4%; Long An increased by 5.8%; Bac Giang increased by 5.4%; Thai Nguyen increased by 5%; Quang Ninh increased by 3.3%; Hung Yen increased 3%; Tien Giang increased by 2.4%; Binh Duong increased by 1,4%; Dong Nai increased by 1.3%.

[3] Orders dropped, world steel prices fluctuated , input material prices were high, and the impact of typhoon No. 6 disrupted industrial production in some central provinces, leading to only The number of production in the processing and manufacturing industry in October 2022 increased only by 5.7% over the same period last year. The electricity industry IIP index in October 2022 increased sharply because the production index of the electricity industry used in the fields of commerce, hotels and restaurants increased by 65.9% (in the same period last year, the electricity production and distribution industry low increase of 3.1%). The IIP index of water supply industry, waste and wastewater treatment and management activities increased by 15.7% due to the increase of 22.7%; in the drainage and wastewater treatment industry; waste collection, treatment and destruction, and scrap recycling increased by 29.3% (in the same period last year, it decreased by 1.7% and 3.5%, respectively).

[4] Localities have high production index of the processing and manufacturing industry in the 10 months of 2022 compared to the same period last year: Bac Giang increased by 41.8%; Can Tho increased by 38.4%; Vinh Long increased by 30.8%; Kien Giang increased by 27%; Quang Nam increased by 25.2%; Khanh Hoa increased by 24.9%; Binh Phuoc increased by 22.9%; Son La increased by 11.5%. Localities with high index of electricity production and distribution: Dak Lak increased by 38.8%; Lai Chau increased by 29.8%; Son La increased by 27.8% due to high increase in hydropower..

[5] Localities with minor increase or decrease in the production index of the processing and manufacturing industry in the 10 months of 2022 compared with the same period last year: Binh Dinh increased by 6.7%; Bac Kan increased by 6.8%; Ninh Binh increased by 4%; Dak Nong increased by 0.6%; Ha Tinh fell 12.3%. Localities with the index of electricity production and distribution industry in 10 months of 2022 decreased compared to the same period last year: Quang Ninh decreased by 4.5%; Binh Thuan down 1.1%; Ha Tinh decreased by 32.2%; Tra Vinh fell 36%. Localities with mining industry in 10 months of 2022 compared to the same period last year increased or decreased: Ba Ria – Vung Tau increased by 2.6%; Ha Tinh decreased by 3.8%; decreased by 17.4%; Binh Dinh decreased by 20.6%.