Vietnam’s manufacturing output grows 10.8% in first half of 2026
Vietnam’s Index of Industrial Production rose 10.8% year-on-year in the first six months of 2026, the fastest first-half growth since 2019, according to the National Statistics Office (GSO).
Source: VietnamPlus · July 31, 2026 at 3:02 AM · AI-assisted report
Single-source
KUALA LUMPUR, 31 JULY 2026 —
Vietnam’s Index of Industrial Production rose 10.8% year-on-year in the first six months of 2026, the fastest first-half growth since 2019, according to the National Statistics Office (GSO).
Market Impact
The manufacturing sector led the expansion, up 11.4% and contributing 8.9 percentage points to overall industrial growth. Electricity production rose 9.6%, while mining increased 5.8%, reversing a decline from the same period a year earlier. The GSO said the second-quarter IIP climbed 11.2% year-on-year, driven by manufacturing (11.3%), electricity (12.4%), water supply (10.3%) and mining (7%).
Several subsectors posted double-digit gains, including basic metals (21.5%), motor vehicles (17.7%), beverages (15.4%) and fabricated metal products (13.9%). Leather and related products grew just 4%, while hard coal and lignite mining fell 5.7%, showing uneven performance across industries.
Manufacturing output surged in Quang Ninh (37.8%), Ha Tinh (30.7%) and Ninh Binh (27.7%), while electricity production jumped 48.3% in Ha Tinh and 18.3% in Phu Tho. The manufacturing consumption index rose 10.8% in the first half, and the average inventory ratio fell to 82.2% from 85.7% a year earlier, indicating stronger sales. Employment in industrial enterprises grew 3.1% year-on-year, including a 3.2% rise in manufacturing.
The GSO’s director, Nguyen Thi Huong, said the recovery was supported by stronger domestic consumption, exports and investment. She noted Vietnam sustained positive growth despite a challenging international environment with geopolitical tensions, slowing global growth, rising oil prices and higher travel costs. Tourism has been a bright spot, she added.
The latest data reinforces Vietnam’s role as a regional manufacturing hub, which is relevant for Malaysian companies with supply-chain links to Vietnam’s electronics, automotive and machinery sectors.