Industrial production up 4.6% in Q1

This is despite a 10.1% fall in output from the F&B and tobacco industry.

Hong Kong’s industrial production index for manufacturing industries inched up 4.6% YoY in Q1, following a 0.5% dip in Q4 2019, according to data from the Census and Statistics Department (C&SD).

The corresponding producer price index also rose 1.3% YoY over the same period, compared to a 1.1% increase in the previous quarter.

Indices of industrial production reflect changes in the volume of local industrial output after discounting the effect of price changes. The price changes are measured by the producer price indices compiled from data on producer prices of selected industrial goods/services collected in the same survey.

The index of industrial production for sewerage, waste management and remediation activities edged up 1.1% YoY in Q1, whilst its corresponding producer price index slipped 3.6%.

Comparing the industrial production in respect of major manufacturing industries in the same quarter, declines in output volume were recorded mainly in the food, beverages and tobacco industry (-10.1%); the paper products, printing and reproduction of recorded media industry (-4.2%); and the metal, computer, electronic and optical products, machinery and equipment industry (-2.5%).

On the other hand, a climb in output volume was recorded in the textiles and wearing apparel industry (+0.8%).

On a seasonally adjusted basis, the industrial production index crashed 3.5% QoQ in Q1 compared to Q4 2019. Increases in producer prices were recorded for all major manufacturing industries. Metal, computer, electronic and optical products, machinery and equipment saw the largest growth in producer prices (+1.4%), followed by food, beverages and tobacco (+1%) as well as paper products, printing and reproduction of recorded media (+1%).