Vietnam's April manufacturing PMI plunges to 32.7 points on coronavirus: report

Record falls were seen in output, new orders, employment and purchasing amid company shutdowns and the cancellation of orders. Meanwhile, business sentiment turned negative for the first time since the survey began. 

A lack of new orders fed through to a steep reduction in backlogs of work. Lower workloads led manufacturers to reduce staffing levels, while there were also some reports of employees having resigned.

The resulting decrease in employment was the sharpest on record, the second month running in which a new low has been registered. Business conditions have now worsened in each of the past three months, the report said. 

The decline signaled a record monthly deterioration in the health of sectors. Enterprises were pessimistic regarding the outlook for production over the coming year.

Sentiment dropped amid fears that the impact of the COVID-19 pandemic could last for a prolonged period. Around 40 percent of respondents signaled a negative outlook in April.

Vietnam's PMI ranked third in Southeast Asia last month, led by Thailand with 46.7 and Singapore with 33.3, according to the survey.

A PMI reading above 50 indicates an expansion of the manufacturing sector compared to the previous month, below 50 represents a contraction, while 50 indicates no change. 

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