Hanoi's industrial production shows steady recovery in H1/2025

3:26 PM, Sat July 12, 2025

Despite global political uncertainties, Hanoi's industrial production maintained a positive recovery momentum in H1/2025, according to the city Statistics Office.

Hanoi's industrial production shows steady recovery in H1/2025- Ảnh 1.

Hanoi's industrial production index rose by 5.9% on-year in H1/2025.

Despite global political uncertainties, Hanoi's industrial production has maintained a positive recovery momentum in H1/2025, according to the city Statistics Office.

In June 2025, Hanoi's Index of Industrial Production (IIP) rose by an estimated 5.1% compared to the previous month and increased by 7.9% year-on-year.

The manufacturing and processing sector saw a 4.2% month-on-month rise and an 8.4% year-on-year increase. Electricity production and distribution surged 15.4% from the previous month and grew 3.5% over the same period last year.

Water supply and waste treatment rose by 1.7% and 9.3% respectively. Mining was up 4.7% compared to the previous month but declined slightly by 1.3% year-on-year.

For Q2/2025, the city's IIP rose 7.3% compared to the same quarter in 2024. The manufacturing and processing industry increased by 7.5%, electricity production and distribution rose by 4.9%, and water supply and waste treatment climbed 8.7%.

However, the mining sector dropped by 7.1%.

Several manufacturing industries recorded impressive growth in Q2/2025.

Motor vehicle manufacturing rose by 14.4%, electronics and computer products increased by 13.7%, while apparel, non-metallic mineral products, and leather goods each grew by 12.3%.

Chemical products grew by 9.7%, pharmaceuticals by 8.4%, and rubber and plastic products by 7.9%.

In contrast, the paper industry saw a 3.2% decline.

Overall, in H1/2025, the IIP rose by 5.9% compared to the same period last year.

The manufacturing and processing industry increased by 6.1%, electricity production and distribution by 4.8%, water supply and waste treatment by 6%, while mining decreased by 5.8%.

Notably, machinery and equipment manufacturing surged by 23.7%, non-metallic mineral products grew by 16.9%, and motor vehicle production increased by 14.8%.

Leather products rose by 11.4%, textiles by 11.1%, metal production by 9.6%, apparel by 9.3%, and electronics, computers, and optics by 7.7%.

Three out of 23 manufacturing sub-sectors recorded declines: paper and paper products dropped 3.6%, electrical equipment fell by 3.1%, and transportation equipment dipped slightly by 0.2%.

In June 2025, the consumption index for manufactured products rose by 1.4% year-on-year.

During H1/2025, this index increased by 2.3% compared to the same period last year.

The sectors with strong consumption included machinery and equipment (up 24.3%), metal production (up 23%), textiles (up 10.4%), and leather goods (up 9.1%).

On the other hand, several industries saw declines in consumption.

Transportation equipment dropped 18.8%, pharmaceuticals fell 15.7%, paper products declined 10.6%, fabricated metal products were down 5.5%, printing and recording media fell 4.9%, and electrical equipment dropped 4.1%.

As of the end of June 2025, the inventory index for the manufacturing sector decreased by 21.5% year-on-year.

Some sectors recorded significant inventory reductions, such as pharmaceuticals (down 65.6%), rubber and plastic products (down 60.8%), textiles (down 36.8%), chemicals (down 26.7%), metals (down 26.1%), and motor vehicles (down 22.2%).

Meanwhile, other sectors reported inventory increases, including processed food (up 84.5%), leather products (up 45.3%), tobacco (up 35%), beverages (up 30%), and wood processing (up 28.2%).

As of the end of June 2025, the number of industrial workers in Hanoi rose by 0.9% compared to the previous month and 0.3% year-on-year.

In H1/2025, the labor index declined slightly by 0.1% year-on-year.

By sector, employment in non-state enterprises fell by 3.4%, and in state-owned enterprises by 1.3%, while foreign-invested enterprises saw a 2.5% increase.

By industry, employment in the manufacturing and processing sector, as well as in electricity and gas distribution, remained stable.

The water supply and waste treatment sector increased employment by 2.6%, while the mining sector saw a sharp drop of 31.5%.

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