Covid-19 has severely hampered the Vietnamese manufacturing sector in February, both on the demand and supply side. The headline Nikkei Vietnam Manufacturing Purchasing Managers’ Index (PMI) fell below the 50 no-change mark in February, signaling a deterioration in business conditions and representing the first decline in over four years, according to Nikkei and IHS Markit. A reading below the 50 neutral mark indicates no change from the previous month, while a reading below 50 indicates contractions and above 50 points to an expansion. A key factor behind the deterioration in business conditions was a marked contraction in factory production during February. Panelists often noted that Covid-19 had caused disruption to output, which decreased at the quickest rate since June 2013. The virus also had a negative impact on demand in February. New orders fell for the first time since November 2015, which was partially driven by a reduction in new export sales. …
FDI in Vietnam, resilience during challenging time
Vietnam’s commitment for success of FDI companies and foreign investors can be seen through the Government’s efforts to improve the investment climate over the last few years. During a virtual conference on May 9th 2020, after successfully containing the pandemic, former Prime Minister of Vietnam told the business circle that the shift in the value chain is causing Vietnam to be viewed as the “heart of the chessboard”, that any player would want to win over[1]. Resilience at hard time Last year, the country was described as “a bright star in the COVID-19 dark sky”[2] by the World Bank Lead Economist and Program Leader for Vietnam, Jacques Morisset. It was proven by a GDP growth rate of 2.9 per cent in 2020, a level that only few countries in the world could have achieved during this dark time of global recession due to the pandemic. As of April 27th 2021, Vietnam had only reported 2,857 confirmed cases and 35 COVID-19-related deaths[3]. The Southeast Asian …
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Groups get to grips with anti-dumping
Steelmakers have had to contend with drawn-out cross-border investigations, Photo: Le Toan Vietnamese steelmakers such as Vina One Steel, Tay Nam Steel Manufacturing and Trading Co., Ltd., Maruichi Sun Steel, and Wing Chung Co., Ltd. breathed a sigh of relief at the end of August when Australian authorities dropped their anti-dumping and anti-subsidy investigation of Vietnamese precision steel pipes. According to the Trade Remedies Agency under the Ministry of Industry and Trade (MoIT), after an investigation request was handed over in January 2020, the MoIT studied the dossier and quickly went to work rebutting the allegation as well as providing relevant information so that the Australian agency could come to the most accurate conclusions on the case. The developments have demonstrated the efforts of Vietnamese exporters in providing complete and timely information at the request of the investigating agency and cooperation between organisers to protect the rights of the …
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Public capital disbursement gains speed in Quang Ninh
Van Don - Tien Yen Bridge, part of the Van Don - Mong Cai Expressway project in Quang Ninh, is under construction (Photo: VNA) Quang Ninh (VNA) – The northern province of Quang Ninh is working hard to complete the disbursement of the entire public investment capital which were allocated for projects in the province at the start of 2021. With regard to key projects, it is striving to disburse at least 80 percent of capital by September 30 and 100 percent by December 30. The provincial administration has shown its determination to reduce or revoke capital from projects whose investors fail to disburse investment capital as schedule. To accelerate capital disbursement and project implementation, Quang Ninh has set up special working groups at the provincial and district levels to tighten supervision of investors’ performance. The provincial People’s Committee has ordered measures to be drastically carried out to speed up the pace of projects financed by the budget and …
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Indonesia forecasts economic growth in 2021 at 3.7-4.5 percent
Illustrative image (Source: VNA) Jakarta (VNA) - The Coordinating Minister of Economic Affairs of Indonesia Airlangga Hartarto on September 16 forecast that the country's economy in 2021 will grow by 3, 7 - 4.5 percent and 5.2 percent in 2022. The minister said all economic sectors have been growing positively and showing improved operational efficiency along with the improvement of domestic demand and trading partner countries. Some sectors showed positive growth such as manufacturing industry and trade, which are major contributors to the national economy. Economic growth in the second quarter of 2021 was at 7.07 percent, but with the implementation of the policy of Restricting Community Activities (PPKM) in the third quarter, economic growth has witnessed a slight decrease. However, the growth for the whole year 2021 is forecast to reach from 3.7 - 4.5 percent. According to Airlangga, in the coming time, the Government will continue to strengthen pandemic control …
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