Vietnam’s PMI July 2025

According to the latest report by S&P Global Market Intelligence, Vietnam’s manufacturing Purchasing Manager’s Index (PMI) reached 52.4 in July 2025, above the 50-point threshold that separates growth from contraction.

The index signalled an overall strengthening of Vietnam’s manufacturing sector, marking the sharpest improvement in business conditions in almost a year.

This positive trend was supported by a rebound in new orders. July saw new business grow for the first time in four months, at the fastest pace since November 2024, as customer demand picked up.

However, some companies reported that US tariffs continued to weigh on foreign orders, leading to another decline in overseas business and extending the contraction in external demand to nine consecutive months.

The increase in new orders also helped boost production. Output rose for the third consecutive month, reaching its fastest growth rate in 11 months, according to S&P Global.

Stronger production requirements led to higher purchasing activity, which expanded at its sharpest pace since August 2024.

The Association of Southeast Asian Nations (ASEAN) is a political and economic union of ten countries. It has a population of 667 million, covers 4.5 million km², and is currently the third-largest economy in Asia-Pacific and the fifth-largest in the world. The ASEAN Economic Community (AEC) had an estimated combined GDP of USD 4.2 trillion in 2024.