Industrial production index increased in all 34 localities.

HANOI, Sept 6 - Industrial production in August continued to post growth momentum. The General Statistics Office reported Friday that the industrial production index (IIP) for August was estimated to increase 2.2% from the previous month and 8.9% from a year earlier. Overall, in the first eight months of 2025, the IIP rose 8.5% year-on-year.

By sector, manufacturing and processing climbed 9.5% year-on-year, mining increased 9.1%, electricity production and distribution grew 6.1%, while water supply, waste and wastewater treatment rose 2.4%.

For the eight months, manufacturing was up 10.0%, contributing 8.1 percentage points to overall growth; water supply and waste treatment rose 9.1%, contributing 0.1 points; electricity production and distribution expanded 4.9%, contributing 0.5 points; while mining fell 1.1%, subtracting 0.2 points.

Notably, several key level-II industries recorded strong growth compared with a year earlier: motor vehicle manufacturing rose 27.4%; rubber and plastics 17.5%; non-metallic mineral products 15.0%; apparel 13.9%; leather and related products 13.4%; fabricated metal products (except machinery and equipment) 12.0%; furniture 11.8%; basic metals 10.5%; food processing 10.1%; wood processing and products 9.6%; paper and paper products 9.5%; and electronics, computers and optical products 7.5%.

In contrast, some sectors grew more slowly or declined: coal mining increased 3.9%; beverage production rose 2.6%; crude oil and natural gas extraction dropped 5.5%.

The IIP over the eight months of 2025 rose in all 34 provinces and cities. Some posted notable increases thanks to gains in manufacturing and electricity production and distribution, while others saw lower growth due to weaker performance in manufacturing, mining or electricity.

Among key industrial products, automobile output surged 59.6% year-on-year in the first eight months; televisions rose 21.4%; NPK fertilizer 17.9%; casual clothing 14.7%; cement 14.6%; leather shoes 13.9%; animal feed 12.5%; rolled steel 11.9%; refined sugar 11.8%; natural fiber fabric 9.6%; and chemical paints 9.3%. Meanwhile, natural gas production fell 9.4%, synthetic fiber fabric declined 4.4%, and crude oil output decreased 1.6%.

Labor in industrial enterprises increased 

Employment in industrial enterprises also rose. As of Aug. 1, the workforce increased 0.9% from July and 4.7% from a year earlier. Jobs in state-owned enterprises edged up 0.1% month-on-month and 2.3% year-on-year; foreign-invested firms rose 1.1% and 5.4%, respectively; and non-state firms grew 0.7% and 3.0%.

By activity, employment in mining was unchanged from July but up 2.0% from a year earlier; manufacturing employment rose 1.0% and 4.9%; electricity, gas, steam and air conditioning supply increased 0.1% and 2.8%; while water supply and waste management gained 0.4% and 2.0%.

Separately, S&P Global reported that Vietnam’s manufacturing Purchasing Managers’ Index (PMI) reached 50.4 in August, remaining above the neutral 50 mark. Highlights included output rising for the fourth straight month, while new orders and employment fell, and input costs posted the sharpest increase since the beginning of 2025.