According to the provisional results of a survey released today (December 13) by the Census and Statistics Department (C&SD), the index of industrial production for manufacturing industries as a whole edged down by 0.1% in the third quarter of 2016 compared with a year earlier, following a year-on-year decrease of 0.4% in the second quarter of 2016. The corresponding producer price index increased by 3.9% in the third quarter of 2016 compared with a year earlier, following a year-on-year increase of 0.4% in the second quarter of 2016.

     The index of industrial production for sewerage, waste management and remediation activities increased by 3.7% in the third quarter of 2016 compared with a year earlier, following a year-on-year increase of 2.0% in the second quarter of 2016. The corresponding producer price index also increased by 5.2% in the third quarter of 2016 compared with a year earlier, following a year-on-year increase of 2.9% in the second quarter of 2016.

     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.

     Comparing the industrial production in respect of major manufacturing industries in the third quarter of 2016 with a year earlier, decreases in output volume were recorded mainly in the textiles industry (-13.2%); the paper products, printing and reproduction of recorded media industry (-0.3%); and the wearing apparel industry (-0.2%). On the other hand, increases in output volume were recorded in the food, beverages and tobacco industry (+3.2%) and the metal, computer, electronic and optical products, machinery and equipment industry (+0.6%).

     On a seasonally adjusted basis, the index of industrial production for manufacturing industries as a whole decreased by 1.3% in the third quarter of 2016 compared with the second quarter of 2016.

     Producer price indices reflect changes in the prices of local output. They measure changes in the actual prices (net of any discounts or rebates allowed to buyers, plus any surcharges) received by producers for their output. Transportation and other incidental charges are not included.

     Comparing the producer prices in the third quarter of 2016 with those a year earlier, a significant increase was recorded in the metal, computer, electronic and optical products, machinery and equipment industry (+9.1%) which was largely contributed by the notable rebound of the market prices of precious metals from the low base in the third quarter of last year; followed by the increases recorded in the wearing apparel industry (+1.1%); and the food, beverages and tobacco industry (+0.1%). On the other hand, decreases in producer prices were recorded in the paper products, printing and reproduction of recorded media industry (-2.2%) and the textiles industry (-0.8%).

     Table 1 shows the year-on-year percentage changes in the indices of industrial production by selected industry grouping. Table 2 shows the year-on-year percentage changes in the producer price indices for the industrial sector by selected industry grouping.

     The revised figures on indices of industrial production and producer price indices for the industrial sector for the third quarter of 2016 will be released at the website of the C&SD (www.censtatd.gov.hk/hkstat/sub/bbs.jsp) and relevant publications of the Department starting from January 20, 2017.

     Users can download the reports "Quarterly Index of Industrial Production, 3rd Quarter 2016" and "Quarterly Producer Price Index for Industrial Sector, 3rd Quarter 2016" free of charge at the website of the C&SD (www.censtatd.gov.hk/hkstat/sub/sp310.jsp?productCode=B1070002 and www.censtatd.gov.hk/hkstat/sub/sp280.jsp?productCode=B1070003 respectively).

     Readers who have enquiries about the survey results may contact the Industrial Production Statistics Section of the C&SD (Tel: 3903 7247; fax: 2123 1048; email: ind-production@censtatd.gov.hk).

Ends/Tuesday, December 13, 2016
Issued at HKT 16:30

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