Improved growth momentum in Vietnam's manufacturing in Feb: S&P Global

The PMI rose to 54.3 in February from 52.5 in January, reaching a four-month high. The PMI signalled a solid monthly improvement in the health of the sector, extending the current sequence of strengthening business conditions to eight months.

Production increased at the fastest pace in over a year-and-a-half amid a sharper increase in new orders.

Stronger rises in both employment and purchasing activity were also recorded, while business confidence hit a 41-month high.

Improved demand for inputs led suppliers to hike their charges, resulting in a sharp increase in manufacturers' input costs. In turn, selling price inflation remained marked.

Meanwhile, suppliers' delivery times lengthened amid some reports of customs delays for imported items.

Manufacturing production increased rapidly in February, with the rate of expansion quickening to a 19-month high.

Panellists reported that the preparation of products ahead of delivery to clients and stronger customer demand were behind the latest rise in output.

New business rose for the sixth successive month, and at the fastest pace since last October.

Meanwhile, the latest increase in input buying was the second-sharpest for a year-and-a-half (behind December 2025 data). In turn, stocks of purchases increased following a fall in January, although the accumulation was only fractional, S&P Global said in a release.

Suppliers' delivery times lengthened modestly again in February, with some respondents indicating that they faced customs delays when importing goods. Stronger demand for inputs meant that suppliers were able to raise their prices during February. As a result, manufacturers' input costs increased at a sharp pace that was the fastest since June 2022.

In addition to higher supplier charges, some firms also noted rising shipping costs. With operating expenses increasing sharply, manufacturers raised their selling prices accordingly.

Fibre2Fashion News Desk (DS)