Exports down 1.3% in June

Exports to major markets outside Asia saw double-digit decline.

The value of total exports of goods continues to dip in June by 1.3% YoY to $305.6b, data from the Census and Statistics Department (C&SD) revealed. However, the figures showed that exports fell at a more relaxed pace following the 7.4% decline in May.

In H1, the value of total exports of goods slipped 6.9% YoY.

Total exports to Asia as a whole grew by 2.1% YoY, led by Taiwan (+21.6%) and the mainland of China (+8.8%). On the other hand, decreases were recorded in the values of total exports to India (‑38.3%), the Philippines (-29.4%), Thailand (-20.1%), Japan (-17.9%) and Korea (-15.6%).

Declines were also posted in exports to some major destinations in other regions such as the UK(‑36.2%), the US (-21.4%) and Germany (-17%).

Amongst principal commodity divisions, the values of total exports sunk in miscellaneous manufactured articles (by $6.2b or -29.7%), non-metallic mineral manufactures (by $4.4b or ‑35.4%), articles of apparel and clothing accessories (by $4.4b or -45.4%) and photographic apparatus, equipment and supplies, optical goods, watches and clocks (by $3.5b or ‑37.3%).

However, exports rose in electrical machinery, apparatus and appliances, and electrical parts thereof (by $14.7b or 12.3%) and office machines and automatic data processing machines (by $5.6b or 19.3%).

As for imports, the total value further fell 7.1% YoY in June to $338.9b. Imports also slid 9.4% YoY in H1. As a result, the trade deficit hit $33.3b in June and $175.2b in H1, which is about 9.8% and 9% of the value of imports of goods respectively.

Decreases were registered in the values of imports from the US (-32.8%), Japan (-9.8%), Korea (‑9.3%), Thailand (-5.9%) and the Mainland (-5.8%). Concurrently, increases were recorded in imports from Vietnam (+43.4%), Malaysia (+15.5%) and Taiwan (+14.5%).

Imports of some principal commodity divisions fell, in particular non-metallic mineral manufactures (by $8.5b or ‑51.1%), miscellaneous manufactured articles (by $6.3b or -29.1%) and photographic apparatus, equipment and supplies, optical goods, watches and clocks (by $4.3b or ‑43.8%).

In addition, increases in imports were recorded in telecommunications and sound recording and reproducing apparatus and equipment (by $5.5b or 11.5%) and electrical machinery, apparatus and appliances, and electrical parts thereof (by $3.8b or 2.6%).

“In face of a challenging external environment, Hong Kong's merchandise export performance will likely remain constrained in the near term,” a government spokesperson said.