Vietnam's manufacturing sector starts fourth quarter impressively

VTV.vn - Vietnam's manufacturing sector had an impressive start to the fourth quarter, with the Purchasing Managers' Index (PMI) soaring to 54.5 points in October, the highest level since July 2024.

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S&P Global’s report noted: Vietnam’s manufacturing sector witnessed an improvement in growth momentum at the start of the fourth quarter. Output and new orders increased strongly and at a faster pace, while employment increased for the first time in more than a year. Purchase inventories were also recorded to increase again, while business confidence reached a 16-month high.

Manufacturers also added to their workforces to counter emerging signs of capacity pressures. Backlogs of work rose for the first time in ten months in October, the sharpest and fastest increase in more than three and a half years.

The Vietnam Manufacturing Purchasing Managers’ Index (PMI) rose to 54.5 in October, up significantly from 50.4 in September, signaling a sharp improvement in the health of the manufacturing sector compared to the previous month. In fact, business conditions strengthened to the largest extent since July 2024.

New orders rose for the second consecutive month, and the rate of increase was strong and much stronger than in September. Moreover, the rate of increase was the fastest since July 2024 as customer demand improved.

New export orders contributed to the increase in total new orders, which rose for the first time in a year, albeit only marginally.

To meet the rise in new orders, manufacturers increased output, and the increase was the strongest since July 2024. Output has now increased for the past six months.

Along with a sharper increase in output than in the previous survey, firms were also more optimistic about their output prospects over the next 12 months. Business sentiment improved to a 16-month high, supported by confidence that new orders would continue to rise and plans to increase production capacity.

Source: https://vtv.vn/nganh-san-xuat-viet-nam-khoi-dau-quy-iv-an-tuong-100251104141846336.htm