Vietnam's Manufacturing Sector Hindered By Weak Exports In November
Date
12/2/2024 6:15:23 AM
(MENAFN- IANS) Hanoi, Dec 2 (IANS) Vietnam's manufacturing sector reported slower rises in output and new orders, which were hindered by weak exports in November, according to a report on Monday.
The sector remained in growth territory during November, but overall business conditions improved to a lesser extent than in October, read the report released by S&P Global market Intelligence.
The S&P Global Vietnam Manufacturing Purchasing Managers' index remained above the 50.0 no-change mark in November and signalled a second consecutive monthly improvement in business conditions following the contraction caused by Typhoon Yagi in September, reports Xinhua news agency.
At 50.8, however, the reading was down from 51.2 in October and pointed to only a modest strengthening in the health of the sector.
Some firms raised production in response to higher new orders, but others reported that demand was relatively muted, leading to a slowdown in growth.
"To some extent, the slowdown in growth reflected weakness in international demand, with exports down to the largest extent since July 2023," said Andrew Harker, economics director at S&P Global Market Intelligence.
"Firms were again keen to keep a lid on costs, and this contributed to another reduction in employment, in turn limiting the ability of companies to complete orders on time. The coming months will hopefully see demand solidify, giving firms the confidence to expand capacity," he said.
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