GDP growth in zone ranks first in Weifang

Weifang Hi-Tech Industrial Development Zone maintained stable growth in the first quarter of 2019, laying a solid foundation for the remainder of the year.

"The regional GDP was 10.87 billion yuan ($1.56 billion) in the first quarter, a 10.1 percent year-on-year growth, which was 4.8 percentage points higher than the average GDP growth rate of Weifang city," said Liu Aiqin, head of the zone's statistics bureau.

"The zone ranked first in the city in terms of GDP growth rate and has set a good start for the whole year."

In the first three months, the added value of the manufacturing industry of the zone was 6.33 billion yuan, representing an increase of 12 percent year-on-year. The rate was 6.5 percentage points higher than Weifang's average. The zone's added value of the service industry was 4.54 billion yuan, increasing 7.1 percent year-on-year, a rate about 1.7 percentage points higher than the city average, according to Liu.

The service industry and manufacturing industry contributed 99.9 percent of GDP growth in the zone in the first quarter.

Sun Xiuhua, deputy head of the zone's statistics bureau, said that leading companies are the major force that is bolstering the zone's economic growth.

Heavy truck engine manufacturer Weichai's subsidiary Linde Hydraulics reported a 74.3 percent year-on-year sales revenue growth in the first three months, much higher than its peers.

Weichai's hydraulic powertrains, combining Weichai's engine and Linde's hydraulic system, are widely used by companies in the agricultural machinery, construction machinery and petroleum machinery sectors.

The zone's leading companies reported 29.34 billion yuan in total industrial output value in the first quarter, increasing 24.9 percent year-on-year. The overall sales revenue of those companies was around 28.69 billion yuan, increasing 25.3 percent on the same period in 2018. Net profit of those leading companies was about 3.1 billion yuan, up 40.1 percent year-on-year, according to the local officials.

In the first three months, the industrial output value of the high-tech industry was 22.6 billion yuan, growing 28.6 percent year-on-year. High-tech industries contributed 77 percent of industrial output value in the zone.

Some new projects have or will become the zone's new drivers for economic growth, according to officials.

Goertek's smart hardware industrial park has been ranked as one of top 10 key projects of Weifang. The zone formed a service team led by government officials to provide all necessary services to the project.

"New energy will be injected into the zone after Weichai's new energy industrial park, Goertek's smart hardware project and Weichai's suppliers industrial park progress," Sun said.

Zhuang Jian and Pei Yueting contributed to this story.