Viet Nam’s manufacturing sector shows signs of stabilization: S&P Global
VGP - The opening month of the third quarter of the year indicated that the Vietnamese manufacturing sector showed some signs of stabilization, according to the S&P Global report released on August 1.
The S&P Global, the world's foremost provider of credit ratings, benchmarks and analytics in the global capital and commodity markets, announced that Viet Nam Manufacturing Purchasing Managers' Index (PMI) rose to 48.7 in July from 46.2 in June.
The report also showed that business confidence picked up to a four-month high in July, but remained relatively muted.
Firms hope that an eventual recovery in customer demand will feed through to renewed production growth, but remained concerned by the current challenges in securing new business, it noted.
Andrew Harker, Economics Director at S&P Global Market Intelligence, said Viet Nam's manufacturing sector remained under pressure in July, according to the latest PMI data, with firms again struggling to secure new business and scaling back output accordingly.
"On a more positive note, there were signs that demand may be stabilizing as new orders fell at the softest pace in five months. Firms will be hoping that this may feed through to renewed growth of orders in the months ahead," he added./.
