Hong Kong Trade Deficit Widens in October as Exports Fall


Hong Kong's trade deficit rose by 25.5 percent to HKD 37.2 billion in October 2016 from HKD 29.7 billion the same month of the previous year, as exports fell by 1.8 percent while imports rose by 0.5 percent. Considering the first ten months of the year, the trade deficit was recorded at $341 billion, with exports declining by 2.5 percent and imports decreasing at a faster 2.9 percent over the same period in 2015.

Exports of goods decreased by 1.8 percent over a year earlier to HKD 313.7 billion, after an increase of 3.6 percent in September 2016. Exports to Asia as a whole went down by 0.9 percent, mainly to Thailand (-12.7 percent), Japan (-11 percent), Vietnam (-7 percent), India (-3.8 percent) and Korea (-3.4 percent). On the other hand, sales rose to Taiwan (+18.2 percent) and Singapore (+3.9 percent). Total exports to China remained virtually unchanged. Apart from destinations in Asia, decreases were also registered to Germany (-15.3 percent) and the United Kingdom (-13.5 percent). Concurrently, an increase was registered in the value of total exports to the US (+0.3 percent).

By commodity, exports declined for: Telecommunications and sound recording and reproducing apparatus and equipment (-11 percent); non-metallic mineral manufactures (-16.1 percent); and miscellaneous manufactured articles, mainly jewellery, goldsmiths' and silversmiths' wares (-12 percent). However, an increase was registered in electrical machinery, apparatus and appliances, and electrical parts thereof (+12.5 percent).

Imports of goods increased by 0.5 percent to HKD 350.9 billion, after a year-on-year increase of 4.1 percent the previous month. Increases were registered in the values of imports from some major suppliers, in particular Korea (+39.7 percent), India (+38.2 percent), the US (+11.7 percent), the Philippines (+10.4 percent) and Singapore (+9.9 percent). Concurrently, decreases were registered in the values of imports from China (-8 percent) and Japan (-6.7 percent).

By commodity, imports went up for: Electrical machinery, apparatus and appliances, and electrical parts thereof (+9.8 percent); and non-metallic mineral manufactures (+17.2 percent). However, decreases were registered in the values of imports of telecommunications and sound recording and reproducing apparatus and equipment (-9.3 percent); and miscellaneous manufactured articles, mainly jewellery, goldsmiths' and silversmiths' wares (-13.1 percent).

For the first ten months of 2016 as a whole, there was a trade deficit of HKD 341 billion. Exports dropped by 2.5 percent over the same period in 2015, in particular to Vietnam (-8 percent), Japan (-6.1 percent), Germany (-5.1 percent), the US (-4.9 percent), Korea (-3.6 percent) and China (-2.3 percent); and imports decreased by 2.9 percent, as purchases decreased to Japan (-8.5 percent), the US (-4.9 percent), Malaysia (-4.7 percent) and the Mainland (-4.6 percent).

Hong Kong Trade Deficit Widens in October as Exports Fall


Census and Statistics Department | Joana Ferreira | joana.ferreira@tradingeconomics.com
11/24/2016 10:21:17 AM