Vietnam’s Consumer Price Index fell in June to 4.34 percent, a decline of .1 percent over May. It is still, however, high in the context of an inflation target for the year of between 4 and 4.5 percent. The biggest gains were in food, medical services, and educational services; with only post and telecommunications recording a decline.
Vietnam CPI data, June 2024
| June | May | May vs June | Jan-Jun 2024 vs 2023 | Vs Baseline 2019 | |
| Overall CPI | 4.34 | 4.44 | 0.17 | 4.08 | 15.39 |
| Food and food services | 4.66 | 4.47 | 0.75 | 4.00 | 20.58 |
| – Food Group One (rice) | 14.78 | 14.83 | 0.05 | 15.76 | 32.17 |
| – Food | 3.23 | 2.87 | 1.07 | 2.05 | 17.23 |
| – Eating outside the family | 4.09 | 4.25 | 0.26 | 4.13 | 24.34 |
| Drinks and tobacco | 2.63 | 2.61 | 0.17 | 2.47 | 12.97 |
| Garments, hats, shoes | 1.48 | 1.70 | (0.11) | 1.60 | 7.62 |
| Housing and construction materials (*) | 5.60 | 5.30 | 0.35 | 5.51 | 19.77 |
| Household equipment and appliances | 1.23 | 1.33 | 0.09 | 1.26 | 7.79 |
| Medicines and medical services | 8.04 | 7.41 | 0.60 | 7.07 | 11.66 |
| – Medical services | 10.28 | 9.46 | 0.76 | 8.97 | 13.10 |
| – Traffic | 3.03 | 5.58 | (2.27) | 3.27 | 10.11 |
| Post and Telecommunication | (1.18) | (1.42) | 0.02 | (1.41) | (4.05) |
| Education | 8.01 | 8.14 | (0.01) | 8.58 | 19.84 |
| – Educational services | 8.55 | 8.66 | 0.00 | 9.15 | 20.43 |
| Culture, entertainment and tourism | 2.35 | 2.01 | 0.68 | 1.72 | 6.84 |
| Other goods and services | 5.97 | 6.19 | 0.05 | 6.16 | 17.42 |
* Includes housing rent, electricity, water, fuel and construction materials.
Source: General Office of Statistics
May
Consumer prices are rising in Vietnam with the consumer price index reaching 4.44 percent in May compared to May of last year, according to data from Vietnam’s General Office of Statistics–the GSO. The GSO has attributed the price increase to an increase in pork prices on the back of limited supply due to African Swine Fever, and increased electricity prices on the back of warmer weather.
Of note, inflation has been relatively low in Vietnam compared to other parts of the world but this is largely due to government price controls. These lower prices, however, have come at a cost. Input prices, have risen for a lot of firms, however, many have been unable to raise their retail prices to compensate. As a result, many have seen their profit margins squeezed while others have had to run at a loss.
As is often the case in Vietnam, targets set under one set of economic conditions have not been adjusted for current economic conditions.
Vietnam CPI data, May 2024
| Baseline 2019 Vs May 2024 | May 2023 vs May 2024 | December 2023 vs May 2024 | April 2024 vs May 2024 | Jan-May 2024 vs Jan-May 2024 | |
| Overall CPI | 15.20 | 4.44 | 1.24 | 0.05 | 4.03 |
| Food and food services | 19.69 | 4.47 | 1.42 | 0.38 | 3.87 |
| – Food Group One (rice) | 32.10 | 14.83 | 2.17 | (0.26) | 15.96 |
| – Food | 15.99 | 2.87 | 1.09 | 0.59 | 1.81 |
| – Eating outside the family | 24.02 | 4.25 | 1.89 | 0.14 | 4.14 |
| Drinks and tobacco | 12.78 | 2.61 | 1.34 | 0.14 | 2.44 |
| Garments, hats, shoes | 7.74 | 1.70 | 0.45 | 0.00 | 1.63 |
| Housing and construction materials (*) | 19.35 | 5.30 | 1.89 | 0.38 | 5.49 |
| Household equipment and appliances | 7.69 | 1.33 | 0.63 | 0.12 | 1.27 |
| Medicines and medical services | 10.99 | 7.41 | 2.00 | 0.01 | 6.87 |
| – Medical services | 12.25 | 9.46 | 2.51 | 0.00 | 8.71 |
| Traffic | 12.66 | 5.58 | 3.67 | (1.73) | 3.32 |
| Post and Telecommunication | (4.07) | (1.42) | (0.49) | (0.09) | (1.46) |
| Education | 19.85 | 8.14 | (3.98) | (0.25) | 8.70 |
| – Educational services | 20.43 | 8.66 | (4.54) | (0.30) | 9.28 |
| Culture, entertainment and tourism | 6.12 | 2.01 | 1.11 | 0.31 | 1.60 |
| Other goods and services | 17.37 | 6.19 | 1.72 | 0.20 | 6.20 |
Source: General Office of Statistics