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According to report data released by the General Bureau of Statistics on the morning of June 29, industrial production faced many difficulties in the first six months of 2023 as orders fell, demand was weak and input costs rose. The growth rate of value added of industrial production reached 1.56% in the second quarter of 2023 compared to the same period last year.

In general, the value added of the entire industry increased by 0.44% in the first 6 months of 2023 compared to the same period last year (in the first quarter it decreased by 0.75%; in the second quarter it increased by 1.56%). . The mining industry fell by 1.43%, ie by 0.05 percentage points; manufacturing and manufacturing grew by 0.37% (in the first quarter it fell by 0.49%; in the second quarter by 1.18%), which contributed 0.10 percentage points to the increase in the total value added of the overall economy. Business; Power generation and distribution increased 1.79%, contributing 0.07 percentage points; Water supply and waste and sewage treatment rose 5.45%, contributing 0.03 percentage points.

In the first 6 months of 2023, the industrial production index of a number of key Tier II industries rose sharply compared to the same period last year, including: coke and refined petroleum increased by 13.2%; Metal ore mining increased by 11.5%; Rubber and plastic products by 7.2%; Tobacco rose 6.7%; Beverages increased 5.7%; The use, treatment and provision of water increased by 5.6%.

In the opposite direction, the industrial production index of a number of sectors, such as wood processing and the manufacture of wood products, fell by 7.7%; Paper and Paper Products Down 7.5%; Both clothing and automobile production fell by 6.8%; uncategorized machinery and equipment declined 4.7%; Metal and electronics products, computers and optical products collectively declined 4.6%.

The rate of increase/decrease of IIP index in the first 6 months of the year compared to the same period last year các in 2019-2023 of some key industries.  Source: Directorate General kê.
Growth/decrease rate of IIP Index in the first 6 months compared to the same period last year
the years 2019-2023 of a number of key industries.
Source: GSO.

The report of the General Bureau of Statistics also shows that in the first six months of 2023, the industrial production index rose in 48 places and fell in 15 places across the country compared to the same period last year. Some IIP index localities achieved relatively high increases due to manufacturing and manufacturing industries; The power generation and distribution industry increased.

On the other hand, some places show little or little increase in IIP index due to manufacturing and manufacturing industry; Mining and power generation and distribution declined.

The growth/decrease rate of IIP in the first 6 months of 2023 compared to the same period of the previous year of some places (%).  Source: Directorate General kê.
IIP growth/decrease rate in the first 6 months of 2023 compared to the same period last year
some towns (%). Source: GSO.

Some key industrial products saw sharp increases in the first 6 months of 2023 compared to the same period last year, including: diameters up 31.2%; Gasoline rose 13.4%; NPK compound fertilizer increased by 11.9%; television rose 10.8%; Fabrics woven from man-made fibers increased by 9.2%.

In contrast, mobile phones were a number of products that declined compared to the same period last year, falling 19.2%; Automotive and bar steel, angle steel together declined 18.2%; casual wear declined 7.1%; Phone components down 5.4%; Fabrics made from natural fibers fell by 4.3%; Urea decreased by 4.1%; Cement fell 3.9%; Motorcycles were down 3.5%.

The consumption index of the total manufacturing and manufacturing industry in June 2023 increased by 0.8% month-on-month and by 2.2% year-on-year. In general, the consumption index of the total manufacturing and manufacturing industry decreased by 2.2% in the first 6 months of 2023 compared to the same period in 2022 (it increased by 9.4% in the same period in 2022).

The inventory index of the total manufacturing and manufacturing industry was estimated as of June 30, 2023 and increased by 9.1% compared to the same period of the previous month and 19.9% ​​compared to the same period last year (same period last year). 14.1% up on the previous year. The average inventory ratio of the entire manufacturing and processing industry is 83.1% in the first 6 months of 2023 (average of the first 6 months of 2022 is 78%).

Regarding the situation of workers working in industrial enterprises, the report of the General Statistics Office showed that as of June 1, 2023, there was an increase of 0.8% compared to the same period last year and a decrease of 4.2% compared to the same period last year Year. State-owned enterprises remained unchanged compared to the same period last year and decreased by 1.9% compared to the same period last year; non-state enterprises rose 0.5% and fell 3.5%; Foreign-invested companies rose 1.1% and fell 4.7%.

By industry, the number of employees in mining companies remained unchanged compared to the same period last year and decreased by 0.7% compared to the same period last year; Manufacturing rose 0.9% and declined 4.5%; the electricity, gas, hot water, steam and air-conditioning production and distribution sectors were flat, down 1.4%; Water supply, waste and wastewater treatment and management activities increased by 0.1% and 1.2%, respectively.

The results of the survey on the business development of companies in the processing and manufacturing industry in the second quarter of 2023 showed: 27.5% of the companies rated their production and business situation as better than in the first quarter of 2023; 36.7% of the companies stated that the production and business situation was stable and 35.8% of the companies assessed it as difficult.

It is expected that in the third quarter of 2023, 34.3% of the companies assessed a better development compared to the second quarter of 2023; 38.3% of companies believe that the production and business situation will be stable and 27.4% of companies predict further difficulties. The state-owned companies sector is the most optimistic: 74.5% of companies forecast that the production and business situation will be better and more stable in the third quarter of 2023 compared to the second quarter of 2023; This ratio is 73% and 71.1% for non-state enterprises and foreign-invested enterprises, respectively.

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By Martine

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