The National Statistics Office reported that the Industrial Production Index (IIP) for the first two months of 2025 increased by 7.2 percent compared to the same period last year, noting the 6.5 percent increase observed in 2024.
In February 2025, the IIP was estimated to decrease by 2.2 percent compared to January, but increase by 17.2 percent compared to the same period last year. This was due to the Lunar New Year being entirely in February 2024.
The IIP decline was particularly sharp in several provinces and cities; for instance, Quang Ngai saw a decrease of 14.9 percent, Quang Nam 10.4 percent, Bac Ninh 7.2 percent, Quang Ninh 6.9 percent, Can Tho 6.7 percent, Ba Ria - Vung Tau 5.7 percent, Hai Phong City 4.2 percent and Thai Nguyen 1.9 percent.
The processing and manufacturing sector experienced a growth of 9.3 percent, contributing 7.9 percentage points to the total growth rate. The electricity production and distribution sector saw an increase of 2.3 percent, adding 0.2 percentage points. The water supply, waste, and wastewater management and treatment sector grew by 8 percent, contributing 0.1 percentage points.
Conversely, the mining sector experienced a decline of 6.4 percent with a 1.9 percent increase against the same period in 2024, which reduced the overall growth rate by 1 percentage point.
In the first two months of 2025, the Industrial Production Index for several key secondary industries showed growth compared to the same period last year. Notably, motor vehicle production increased by 53.5 percent, leather and related product manufacturing rose by 22.5 percent, furniture production (beds, cabinets, tables, and chairs) grew by 19.8 percent, costume manufacturing increased by 15.3 percent, wood processing and the production of wood, bamboo, and rattan products expanded by 12.5 percent.
On the contrary, the IIP index of some industries decreased. Of these, crude oil and natural gas exploitation decreased by 12 percent while production of drugs, pharmaceutical chemicals and medicinal materials decreased by 10.4 percent. Moreover, production of coke and refined petroleum products decreased by 3.6 percent, production of tobacco products decreased by 2.8 percent and production of electrical equipment decreased by 1.7 percent.
The industrial production index in the first two months of 2025 compared to the same period last year increased in 58 localities and decreased in 5 localities nationwide. Some localities had a fairly high IIP index thanks to the processing and manufacturing industry, the electricity production and distribution industry.
