In the first nine months of 2024, the main driving force of the Da Nang economic development is the recovery of industrial production, the contribution of goods export activities and the main support from the service industry, thereby, the gross regional domestic product (GRDP) increased by 6.47% over the same period in 2023; GRDP in the third quarter of 2024 alone increased by 8.59%.

Production activities at the Da Nang Rubber Joint Stock Company. Photo: MAI QUE

Thriving service industry

According to a report on the Da Nang socio-economic situation in the first nine months of 2024 by the General Statistics Office, in the 6.47% increase of the entire economy in the past nine months, the service sector went up by 6.96% over the same period in 2023. It can be seen that the service industry continued to grow well, in which tourism activities stand out.

The city organised many national and international events and festivals, tourism products and services are organised and put into operation, contributing to creating a vibrant and fresh atmosphere to attract a large number of domestic and international tourists to Da Nang such as ‘Da Nang Sea Flower Street’, Bach Dang walking street and piloting the organisation of services, serving night tourism products on Nguyen Van Troi Bridge; opening the Hue - Da Nang tourist train ‘Connecting Central Heritage’ journey; launching the high-quality train Ho Chi Minh City - Da Nang; ‘Enjoy Da Nang’ tour programmes.
In the first nine months of 2024, the number of tourists served by local accommodation establishments was more than 8.7 million, an increase of 33.3% over the same period in 2023, 3.1 million of which was international visitors, up by 30.6%, and 5.5 million was domestic ones, up by 34.9%. Revenue from accommodation, food and beverage, and travel in the first nine months stood at over VND 26,000 billion, up 26%. As of September 2024, there had been 20 flights to Da Nang (5 domestic and 15 regular international flights), the average frequency in the first nine months of the year was 115 flights/day (64 domestic and 51 international flights). In the first nine months, the total number of flights to Da Nang was over 31,400, equivalent to the same period in 2023.

Commercial activities were relatively stable with the city’s retail sales of goods in the first nine months estimated at VND55,638.9 billion, up 12.4% over the same period in 2023. Trade promotion activities continued to be strengthened, the city organised three fairs, thereby supporting 41 participating businesses; organised seven delegations (37 organisations and enterprises) to participate in displaying, promoting and introducing products at domestic fairs and exhibitions to introduce OCOP (One Commune - One Product) items, typical products, and souvenirs of Da Nang.

The world market has shown signs of recovery since the end of the second quarter of 2024, so orders have increased again, contributing to good export growth in the third quarter of 2024. The total import and export turnover of goods was recorded at US$ 2.46 billion, up 11.3% over the same period. In detail, export goods were at US$1.45 billion, up 5.1%; imports were at US$1.01 billion, up 21.7% over the same period in 2023. As for the turnover of some major export items of the city in the first nine months of 2024, textiles and garments were at US$388 million, up 4.5% over the same period in 2023; seafood at US$170 million, up 4.6%; children’s toys at US$73.6 million, approximately the same period; engines, electrical equipment and electronic products at US$495 million, up 5.1%.

Activities at the second Viet Nam Industry and Manufacturing Exhibition - VIMF 2024. Photo: M.Q

Industry and construction recover and accelerate

Following the recovery momentum in the second quarter, industrial production activities in Da Nang in the third quarter of 2024 made strong changes. If at the end of the first quarter, the industrial production index of the whole industry only reached an increase of 1.35% compared to the same period, then in the third quarter it climbed up by 8.46% compared to the same period, contributing to promoting the industrial production index of the whole industry in the first nine months of 2024 to increase by 5.36% compared to the same period in 2023.

Some groups contributing to promoting the industrial production index include textiles went up by 38.57%; food processing 6.63%; beverage production 13.68%; production of rubber and plastic products 9.46%; production of prefabricated metal products 15.69%...

In general, the industrial and construction sectors increased by 5.03% over the same period in the first nine months of 2024. The construction production value in the first nine months of 2024 at current prices is estimated at VND 18,156 billion, up 7.04% over the same period in 2023. In detail, the state-owned enterprise sector increased up by 186.4%; the non-state enterprise sector up by 8.5%; foreign-invested enterprises up by 5.1%; household construction up by 5.2% over the same period in 2023.

The prices of raw materials and fuels used for construction are tending to stabilize and decrease slightly compared to the same period in 2023, reducing pressure on the construction industry. The growth of added value of the construction industry in the first nine months of 2024 was at 7.19% over the same period in 2023, with construction of all types of houses up by 9.17%; construction of civil engineering works 22.34% and specialized construction activities 14.17% compared to the same period in 2023.

In general, according to the assessment of the General Statistics Office, with the growth rate from industries and fields that have made significant contributions to the city’s GRDP in the first nine months of this year, it will be a step to create momentum for 2024 and the following year. This result is thanks to the fact that in the past time, the city’s administration has directed agencies, units and localities to proactively and flexibly carry out the assigned key tasks well.

Reporting by MAI QUE - Translating by A.THU