Huizhou, the Greater Bay’s easternmost municipality, reported a mixed bag of economic data for July. Industrial output slumped, yet fixed-asset investment and consumption both grew strongly.
From January to July, industrial output rose only 1.2%, decelerating in July by 1.0 percentage point. The biggest drags were two staples: electronics fell -1.0% YoY in July, while the petrochemical industry fell -3.0% YoY.
Fixed-asset investment, however, rose 13.0% YoY in July, 0.6 percentage points higher than the first six months and 9.4 percentage points higher than July 2018. This was across the board: industrial investment rose by 13.3; infrastructure investment rose 26.2%; and real estate investment rose 18.5%.
Consumer spending held up well. Retail sales were up 8.0% YoY in July. Moreover, the financial industry seems to be in good shape, too. At the end of July, the balance of local and foreign currency deposits in the city was RMB632 billion, up 6.2% year-on-year. The balance of domestic and foreign currency loans was RMB547.1 billion, up 20.1%, second fastest in the province.