Vietnam's industrial production expanded 10.8% in the first half of 2026, marking its fastest growth since 2019, according to the National Statistics Office.
The manufacturing and processing sector remained the primary growth engine, posting an 11.4% year-on-year increase.
The strong performance was driven by a rebound in domestic consumption, improving global supply chains and resilient export markets. Several key industries, including metal production, motor vehicle manufacturing and beverage production, recorded double-digit growth, while supporting sectors such as chemicals and construction materials also benefited from increased infrastructure investment.
Foreign direct investment (FDI) continued to underpin the sector's momentum. By the end of June, manufacturing had attracted more than $10.7 billion in newly registered FDI, accounting for nearly 62% of the country's total registered investment. Meanwhile, disbursed FDI exceeded $13 billion, the highest level in five years, indicating that new projects are being implemented at a faster pace.
Rising product consumption also helped reduce inventory levels, suggesting that manufacturers have improved production planning and aligned output more closely with market demand.
Employment in industrial enterprises increased 3.1% from a year earlier, led by foreign-invested companies. Business confidence also remained strong, with most manufacturers expecting production to maintain or further strengthen its growth momentum in the third quarter of 2026.
Google translate