Vietnam’s economy grew by 7.4% in the third quarter of 2024, despite significant damage from Typhoon Yagi, which caused $3.3 billion in losses and 345 deaths. According to the General Statistics Office (GSO), the country’s growth was driven by its ability to adapt to global economic fluctuations and address the severe impact of natural disasters. While sectors like agriculture, forestry, and fisheries were particularly affected by the typhoon, exports increased by 15.8% compared to the previous year.
Vietnamese government aims for a 6.8% to 7% growth rate in 2024, but the Asian Development Bank (ADB) warned that geopolitical tensions and uncertainties, particularly related to the U.S. elections, could affect trade, manufacturing, and employment. The U.S. remained Vietnam’s largest export market in the first nine months of 2024.
Despite a strong growth outlook, challenges remain, with S&P Global Market Intelligence reporting a sharp decline in manufacturing production in September. The ADB forecasts 6% growth for Vietnam by year-end, as the country continues to recover from the storm. In 2022, Vietnam’s economy grew by 8%, highlighting its long-standing success among Asian economies.
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