Storm No. 3 "knocks down" many small businesses

Evaluating the damage caused by Storm Yagi, Ms. Phi Thi Huong Nga, Director of the Department of Industrial and Construction Statistics (General Statistics Office) said that through understanding the situation of enterprises, it was shown that the level of damage to assets and production and business activities of many enterprises was very large.

In the field of agriculture and fisheries, fishing boats, tourist boats, and aquaculture cages on the sea surface were severely damaged after the storm.

In the industrial, construction and service sectors, many valuable assets of many enterprises were damaged, such as factories, ships, means of transport, machinery, equipment, goods, etc.

Most other enterprises in the Northern provinces were indirectly affected, such as having to close, stop production and business, or reduce productivity and sales during the storm and flood because workers could not go to work, goods could not be transported or customers could not be reached.

According to the Director of the Department of Industrial and Construction Statistics, looking at the growth results in the third quarter of 2024, it can be seen that the damage in agriculture was the greatest. Meanwhile, the number of Vietnamese enterprises operating mainly in the industrial, construction and service sectors, so the level of impact was not as severe as in the agricultural sector.

Specifically, in the industrial sector, the storm mainly affected the localities where the super storm passed through such as Hai Phong, Quang Ninh, Hai Duong and greatly affected the coal and ore mining industry. However, the storm did not last long, so the production interruption was mainly for businesses to recover from the storm damage.

In some localities affected by the storm circulation, flooding occurred, but localized phenomena in some low-lying areas in provinces, cities, industrial zones, and clusters, where production is concentrated, were less affected, mainly due to temporary interruptions due to workers not being able to go to work.

Foreign-invested enterprises are the most optimistic with 29% of enterprises assessing production and business activities in the third quarter of 2024 as better than the second quarter of 2024. Illustration photo: TL

The results of a survey of 30,587 enterprises show that enterprises in the third quarter of 2024 faced more difficulties than the second quarter of 2024, mainly in provinces affected by storms, small-scale production enterprises were more affected than large-scale enterprises, and non-state enterprises were more affected than FDI enterprises.

Accordingly, 23.5% of enterprises assessed production and business activities in the third quarter of 2024 as better than the second quarter of 2024; 48.3% remained stable; 28.2% of enterprises assessed production and business activities as more difficult. Compared to the second quarter of 2024, the proportion of enterprises assessing more favorable than the previous quarter decreased by 2.4%; more difficult increased by 1.7%.

By economic sector, the processing and manufacturing industry is the most optimistic with 34.7% of enterprises assessing production and business activities in the third quarter of 2024 compared to the second quarter of 2024 as better; 42.6% remained stable; 22.7% of enterprises assessed production and business activities as more difficult. Compared to the second quarter of 2024, the proportion of enterprises assessing more favorable than the previous quarter decreased by 4%; more difficult increased by 1.9%.

In the trade and service sector, 18.7% of enterprises assessed production and business activities in the third quarter of 2024 compared to the second quarter of 2024 as better; 53.1% remained stable; 28.2% of enterprises assessed production and business activities as more difficult. Compared to the second quarter of 2024, the proportion of enterprises assessing more favorable than the previous quarter decreased by 3%; more difficult increased by 1.3%.