China's Hubei, epicentre of coronavirus outbreak, posts Q1 GDP slump

Credit: REUTERS/ALY SONG

China's central Hubei province, epicentre of the new coronavirus outbreak in the country, posted a 39.2% drop in economic output in the first quarter compared with a year earlier, weighed down by a sharp decline in manufacturing.

Adds details of decline in industries

BEIJING, April 21 (Reuters) - China's central Hubei province, epicentre of the new coronavirus outbreak in the country, posted a 39.2% drop in economic output in the first quarter compared with a year earlier, weighed down by a sharp decline in manufacturing.

The sudden outbreak of the new coronavirus has had an unprecedented impact on economic and social development in the province, with most economic indicators down significantly in the first quarter, the Hubei statistics bureau said on Tuesday.

Authorities locked down Hubei for most of the first quarter to stem the spread of the highly contagious coronavirus, stalling its economy. The provincial capital of Wuhan, the origin of the outbreak, accounts for almost 10% of vehicles made in China and is home to hundreds of parts suppliers.

Hubei's manufacturing output plunged 45.8% in January-March from a year earlier, led by slumps in the auto, electrical machinery and general equipment industries, according to the statistics bureau.

China's first-quarter gross domestic product fell 6.8% year-on-year, data released last week showed. It was the first contraction in the world's second-largest economy since at least 1992, when official quarterly GDP records were first published.

(Reporting by Ryan Woo and Roxanne Liu; Editing by Andrew Heavens and Catherine Evans)

((Ryan.Woo@thomsonreuters.com;))

The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

Reuters

Reuters, the news and media division of Thomson Reuters, is the world’s largest international multimedia news provider reaching more than one billion people every day. Reuters provides trusted business, financial, national, and international news to professionals via Thomson Reuters desktops, the world's media organizations, and directly to consumers at Reuters.com and via Reuters TV.

Learn More