Manufacturing production in Hong Kong increased 1.6 percent year-on-year in the second quarter of 2018, following a 1.1 percent rise in the previous quarter. It was the biggest annual gain in factory output since the second quarter of 2014, as production went up for sewerage & waste management (3.1 percent compared to 1.6 percent in Q1); food, beverages & tobacco (3.2 percent compared to 2.4 percent); textiles & wearing apparel (2.5 percent compared to 0.3 percent); paper products (0.6 percent compared to 1 percent) and miscellaneous articles (1.3 percent compared to 0.7 percent). On the other hand, output fell further for metal, computer, electronic & optical products, machinery & equipment (-1.3 percent compared to -0.8 percent). Industrial Production in Hong Kong averaged -1.86 percent from 1999 until 2018, reaching an all time high of 7.10 percent in the first quarter of 2006 and a record low of -12.50 percent in the second quarter of 2003.
Industrial Production in Hong Kong is expected to be 1.80 percent by the end of this quarter, according to Trading Economics global macro models and analysts expectations. Looking forward, we estimate Industrial Production in Hong Kong to stand at 2.40 in 12 months time. In the long-term, the Hong Kong Manufacturing Production is projected to trend around 3.40 percent in 2020, according to our econometric models.