Vietnam: Industrial production growth accelerates in August
August 29, 2019
Industrial production rose 10.5% in August, up from July’s revised 9.8% increase (previously reported: +9.7% year-on-year). August’s figure was underpinned by strong momentum across all sectors: mining and quarrying, manufacturing, electricity and water supply.
Industrial output growth should remain elevated going forward, spearheaded by a burgeoning manufacturing sector. Vietnam is an attractive low-cost base for manufacturing firms, including those looking to relocate from China due to the U.S.-China trade spat, thanks to a cheap workforce and business-friendly government.
Author: Oliver Reynolds, Economist