FX.co ★ Hong Kong Retail Sales Slump in February

Retail sales in Hong Kong experienced a significant decline of 15% in February 2025 compared to the same month the previous year. This decline was more pronounced than the revised 5.1% decrease recorded in January, marking twelve straight months of reduced retail activity and the steepest drop since April 2024. Sales fell across all product categories: food, alcoholic drinks, and tobacco decreased by 11.2% compared to a 7.3% increase in January; supermarkets witnessed an 18.9% decline from a 1.1% decrease; fuels dropped 12.6% against a previous 1.5% fall; clothing and footwear were down 14.2% following a 4.1% increase; department stores saw a significant 22.9% decrease from a 1.3% decline; and other consumer goods fell by 12% against a previous rise of 1.9%. The decline in consumer durable goods was 16.5%, though this was an improvement from a 24.2% drop in January, and sales of jewellery, watches and clocks, and valuable gifts fell by 16.6%, a slower decline than the 20.7% in January. Monthly, retail sales in February took a steep dive of 17.3%, reversing an upwardly revised 8.2% growth in January.