CAIRO – Typhoon Yagi severely disrupted Vietnam’s manufacturing sector, resulting in a significant drop in production in September and halting a five-month trend of expansion, according to S&P Global Market Intelligence.
According to Namibia Press Agency, the latest report from S&P Global shows that the Vietnam Manufacturing Purchasing Managers’ Index (PMI) fell sharply to 47.3 in September, down from 52.4 in August. This decline marks the most significant worsening in the sector’s health since November of the previous year and signals a renewed deterioration in business conditions at the close of the third quarter.
Andrew Harker, Economics Director at S&P Global Market Intelligence, commented on the impact of the storm. “Typhoon Yagi brought an end to a period of strong growth in the sector,” he stated. Despite the immediate setbacks caused by the typhoon, Harker remains optimistic about the sector’s resilience. “The underlying demand picture should remain conducive to growth, meaning that we could see a quick rebound in the sector as the recovery from the storm begins,” he added.