Accordingly, most of the manufacturing industries are affected because raw materials depend on imports from China and South Korea. In many businesses, production plans are slower than schedule such as leather shoes, steel and chemicals. Particularly garment still have raw materials for production until April 2020 although it is affected.
In addition, the consumption of products is also affected because the export is facing many difficulties due to delayed orders, increasing inventories, especially in the shoe industry, manufacturing metal structures, fiber industry, beer. Besides, production orders for the next quarter also dropped. Another difficulty of businesses is the lack of foreign experts to work due to the impact of the disease is not entry, production is delayed.
The aforementioned difficulties made in the first quarter only 37 out of 75 industrial production groups increased and 38 out of 75 groups decreased compared to the same period.
The sectors with increased products such as: production of aquatic feed, mineral water, textiles made from silk thread, backpacks, fertilizers, paints, varnishes, ...
Footwear production decreases in the first quarter
The reducing industries are mainly cashew nut production, animal feed production, canned beer, cigarettes, yarns made from synthetic cotton, textiles made from synthetic fibers, producing non-knitted adult clothing or knitting, producing bags, shoes, producing plywood from wood, producing oil and lubricants, producing plastic packaging, producing cement components, producing semi-finished iron and steel, and rods, rods of iron or non-alloy steel, manufacture of semiconductor devices, manufacture of electric distribution and control devices, etc.
Director of the Department of Industry and Trade of Long An - Le Minh Duc informed that, in the second quarter of 2020, the Department will continue to review the needs of enterprises to organize programs to connect products for the textile and leather industries. shoes, ... This activity helps businesses find sources of domestically produced materials, or find partners from many other countries to ensure continuous production, meet the business plan, contributing to the province increased production value in the industrial sector.
Reported by Mai Huong
Translated by NT