Tibet, Chongqing Lead China's Economic Growth as Heavy Industry Moves West
Yicai Global
/SOURCE : Yicai
Tibet, Chongqing Lead China's Economic Growth as Heavy Industry Moves West

(Yicai Global) July 28 -- The Tibetan Autonomous Region and Chongqing Municipality are leading China's economic growth with growth rates of 10.6 percent in the first half, according to data from the local governments of 27 provinces and regions.

Due to abundant labor and water resources, the upper and middle reaches of the Yangtze River have attracted many heavy industry enterprises to relocate from the Pearl River Delta and lower Yangtze River Delta, Dr. Peng Peng, vice president of the Guangdong Society of Economic Reform, told Yicai.

The downturn in foreign trade has posed little impact on the productivity of provinces in the upper and middle reaches of the Yangtze River which has also been boosted by the drop in energy prices, Professor Hu Xiaodeng, a regional economic expert and Guizhou provincial government counselor, said to Yicai Global.

Data from provinces in the northeast, northwest and north China, as well as Yunnan province in southwest China, show slowing growth. Shanxi, Liaoning and Heilongjiang provinces have not released their data yet but are not expected to show strong growth.

China is encouraging foreign investment in the lower-cost manufacturing centers in the country's central and western regions.

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