Industrial production in HCM City needs long-term support: Insiders hinh anh 1Rising 9.6 percent in September against August, yet the IIP in HCM City has failed to gain ground this year. (Photo: VNA)

HCM City (VNA) -
Businesses in HCM City are in need of specific and long-term solutions, given that its index of industrial production (IIP) fell 4.9 percent in the first nine months of this year, according to insiders. 

Rising 9.6 percent in September against August, yet the IIP has failed to gain ground this year, the municipal Department of Industry and Trade said.

Sectors such as processing and manufacturing, electricity generation and distribution, and water supply and waste treatment posted declines ranging from 1.2 to 5.8 percent in the period.

Sharp falls were seen in metals (29.1 percent), wood and wooden products, except beds, wardrobes, tables and chairs, (22.6 percent), clothing (20.3 percent), and other processing and manufacturing industries (19.2 percent).

The IIP in electronics and chemistry rose 18.5 percent and 7.6 percent, respectively.

Figures show that the consumption index for the processing and manufacturing sector fell 3.6 percent year-on-year in the January-September period. Its inventory index, meanwhile, remained high in certain areas like copying, wood processing, and chemical production.

Nguyen Phuong Dong, Deputy Director of the Department of Industry and Trade, attributed the situation to the COVID-19.

Hirai Shinji, Chief Representative of the Japan Trade Promotion Organisation (JETO) in HCM City, said Vietnam has emerged as a leading investment destination.

He suggested the country update equipment and technologies, increase productivity, and improve workplace knowledge in order to integrate more deeply into the global supply chain./.