Hong Kong witnessed a significant increase in its foreign trade deficit in August compared to the same period last year, as imports outpaced exports, according to data released by the Census and Statistics Department on Thursday.
The trade deficit surged to HK$33.1 billion in August from HK$25.92 billion a year ago, also marking a steep rise from HK$21.9 billion in July. Notably, the visible trade deficit amounted to HK$21.84 billion, corresponding to 8.0 percent of the total value of imports.
While exports saw an annual increase of 6.4 percent in August, this was a slowdown from the 13.1 percent surge recorded in July. Exports to Mainland China alone rose significantly by 12.9 percent year-over-year.
Total exports to Asia grew by 9.9 percent, with Vietnam leading the way with a remarkable 27.0 percent increase. Malaysia followed closely with a 23.7 percent rise in exports. Conversely, exports to India declined sharply by 20.5 percent.
Beyond Asia, exports to Switzerland plummeted by 62.0 percent, and those to the United Kingdom dropped by 46.2 percent.
Imports experienced an annual growth of 7.9 percent in August, albeit slower than the 9.9 percent increase seen the previous month. Vietnam was the top source, with imports soaring by 48.0 percent.
"Looking ahead, while geopolitical tensions and trade conflicts will present risks, Hong Kong’s export performance should remain positive if external demand continues to hold up," stated a government spokesperson.
