The IIP is estimated to have risen by 10.0% year on year, bringing the cumulative increase for the first nine months to 9.1% compared with the same period last year. This marks the strongest expansion since 2020, driven mainly by the manufacturing and processing sector.

In Q3, manufacturing and processing output surged by 10.2%, mining grew by 8.2%, and electricity production and distribution rose 9.8%, while water supply and waste management increased 5.3%. Analysts attribute the strong performance to intensified production for export ahead of expected higher US tariffs and a rebound in mining and power generation activities.

In the January–September period, manufacturing and processing rose 10.4%, contributing 8.4 percentage points to overall growth. Electricity production and distribution grew 6.1%, water supply and waste treatment 8.8%, and mining 0.1% — reversing last year’s 6.9% decline.

Key industries posting growth above 10% included fabricated metal products, leather goods, basic metals, food processing, furniture, paper, and wood products. In contrast, beverage production grew modestly by 3.8%, while crude oil and natural gas extraction fell 4.7%.

The manufacturing and processing consumption index in September rose 0.1% month on month and 9.3% year on year. Over the first nine months, it increased 9.1%, compared with 12.5% last year. Meanwhile, inventories in the sector at the end of September were up 4.9% from August and 13.3% from a year ago, with the average inventory-to-output ratio rising to 82.3%.

All 34 provinces recorded year-on-year IIP growth, with higher gains in areas benefiting from strong manufacturing and electricity output.

Industrial employment also improved, with total workers in industrial enterprises as of September 1 up 1.2% from the previous month and 4.5% year on year. Employment grew across all ownership types, including a 5.2% increase in foreign-invested firms.