Consumers more optimistic and spending more

At the Government’s regular August 2025 meeting on Sept. 6, Minister of Industry and Trade Nguyen Hong Dien reported that the industrial production index (IPI) in August was estimated to increase 1.8% from July and 19% year-on-year. Cumulatively, the IPI rose 8.5% over the first eight months, higher than the same period last year, with the processing and manufacturing sector up 10%.

Domestic trade also maintained growth. Total retail sales of goods and consumer service revenues in August rose an estimated 0.6% from July and 50.2% year-on-year. For the first eight months, retail sales grew 9.7%.

The ministry assessed that consumers are more optimistic and spending more, particularly during holidays such as National Day (Sept. 2). Promotional programs to stimulate consumption have been rolled out by businesses and localities. Travel and tourism revenues rose more than 23%, surpassing the annual target.

Vietnam’s total import-export turnover in August 2025 was estimated at USD 63 billion, up 0.9% from July. Despite the impact of monetary tightening in major markets, exports in August still edged up 0.6% from July and 11.2% year-on-year. Exports to the US fell 5% month-on-month but climbed 17.3% over the first eight months.

Trade surplus projected at nearly $14 billion

Cumulatively, Vietnam’s total trade turnover reached nearly USD 600 billion, up 16.3% year-on-year. The ministry projects import-export turnover could hit USD 800 billion this year, a record high for Vietnam. The trade balance is expected to post a surplus of nearly USD 14 billion.

According to Minister Nguyen Hong Dien, this result partly reflects businesses accelerating the execution of signed orders, demonstrating great efforts by enterprises and the entire political system.

However, he warned of external risks, calling on ministries, agencies and enterprises to closely monitor global developments, especially US policies, inflation, prices, and supply chain disruptions.

To achieve the 2025 GDP growth target of 8.3% and sustain momentum, the ministry recommended speeding up implementation of National Assembly and Government resolutions, particularly economic recovery programs and new Politburo resolutions. It also stressed the need to accelerate public investment disbursement and the progress of key national projects, especially those recently launched, while pushing ahead with energy and mineral projects to secure domestic raw material supply.

The ministry urged authorities to resolve bottlenecks in stalled projects with special mechanisms, particularly in energy, and continue to review and adjust institutional barriers through government resolutions, laws and decrees to align with Vietnam’s rapid growth.

Minister Nguyen Hong Dien also called on ministries and agencies to support and coordinate with local governments in fulfilling decentralized responsibilities. He asked the Government to instruct provinces to be more proactive in adjusting provincial plans and land-use strategies to attract investment projects, especially in energy, where approval remains slow.

To stimulate domestic consumption and facilitate trade, the ministry is finalizing proposals to host an Autumn Fair in late September for industrial and food products and a Spring Fair at the end of the year for consumer goods ahead of the Lunar New Year (Tet) holiday. The proposal will be submitted to the Government next week.