Industrial production continued to see low growth in November withthe nation's Index of Industrial Production (IIP) increasing just 4.8percent over October, according to the General Statistics Office (GSO).
The index for the first 11 months has risen by just 4.6 percent over the same period last year.
The IIP growth rate this year has been much lower than incorresponding periods in 2011 and 2010, said GSO expert Vu Quang Ha,noting that the IIP rose 6.9 percent last year and 9 percent in 2010.
The slowing trend was attributed to impacts of the global recessionwhich has lowered domestic purchasing power as well as demand in majorexport markets, such as the US, EU and Japan.
In specificindustries, electrical generation and distribution saw a growth of 12.4percent, and water supply and treatment grew by 8.1 percent during the11-month period, but manufacturing and processing industries – whichaccount for over 70 percent of all industrial production value – grew byonly 3.9 percent. The mining industry saw a similarly sluggish 4percent growth.
It was even worse for a number of leadingexport-driven sectors. The textile and garment industry saw a growth ofonly 3.4 percent, while the wood products grew by only 1.9 percent.Negative growth was seen in s ome sectors even saw, including footwear(down 0.6 percent), cement (down 6.2 percent), paper (down 9 percent)and machinery (down 14 percent).
The low figures reflected thestagnation in many of these industries, which have seen many productionfacilities closed and many enterprises liquidated.
Among the fewbright spots, the manufacturing of telecommunications devices saw rapidgrowth of 50.4 percent in the first 11 months of the year, whileelectronics grew by 18.3 percent, pharmaceuticals by 15.3 percent andcrude oil production by 11 percent. The consumption index of products ofmanufacturing and processing industries during the first 11 monthslagged behind the production index. October saw the consumption index ata 10-month low of only 3.3 percent.
Due to weak consumption,inventories continued high, with no improvement since August. As ofNovember 1, the inventory index was 20.9 percent. Telecommunicationsdevices, fertiliser, motorbikes, tobacco, cement, paper and fisherieswere among those with high inventories.-VNA
The index for the first 11 months has risen by just 4.6 percent over the same period last year.
The IIP growth rate this year has been much lower than incorresponding periods in 2011 and 2010, said GSO expert Vu Quang Ha,noting that the IIP rose 6.9 percent last year and 9 percent in 2010.
The slowing trend was attributed to impacts of the global recessionwhich has lowered domestic purchasing power as well as demand in majorexport markets, such as the US, EU and Japan.
In specificindustries, electrical generation and distribution saw a growth of 12.4percent, and water supply and treatment grew by 8.1 percent during the11-month period, but manufacturing and processing industries – whichaccount for over 70 percent of all industrial production value – grew byonly 3.9 percent. The mining industry saw a similarly sluggish 4percent growth.
It was even worse for a number of leadingexport-driven sectors. The textile and garment industry saw a growth ofonly 3.4 percent, while the wood products grew by only 1.9 percent.Negative growth was seen in s ome sectors even saw, including footwear(down 0.6 percent), cement (down 6.2 percent), paper (down 9 percent)and machinery (down 14 percent).
The low figures reflected thestagnation in many of these industries, which have seen many productionfacilities closed and many enterprises liquidated.
Among the fewbright spots, the manufacturing of telecommunications devices saw rapidgrowth of 50.4 percent in the first 11 months of the year, whileelectronics grew by 18.3 percent, pharmaceuticals by 15.3 percent andcrude oil production by 11 percent. The consumption index of products ofmanufacturing and processing industries during the first 11 monthslagged behind the production index. October saw the consumption index ata 10-month low of only 3.3 percent.
Due to weak consumption,inventories continued high, with no improvement since August. As ofNovember 1, the inventory index was 20.9 percent. Telecommunicationsdevices, fertiliser, motorbikes, tobacco, cement, paper and fisherieswere among those with high inventories.-VNA
