Export growth slows 4.5% to $375b in September amidst typhoon and trade woes

This comes from a 13.1% expansion in August.

Hong Kong exports decelerated significantly by 4.5% YoY to $375b in September from double-digit growth of 13.1% in August, according to the Census & Statistics department, as trade tensions between the US and China deepen.

“Looking forward, the impacts of the US-Mainland trade conflicts on Hong Kong's exports will likely turn more visible in the coming months, particularly so if the trade conflicts are to escalate further,” a government spokesperson said in a statement.

Also read: Trade war could cut 1% of Hong Kong GDP

Trade activity was also dented by the disruption brought by tropical cyclone Mangkhut, the spokesperson added. Mangkhut, widely considered as Hong Kong’s most intense storm since 1946, left around 1,500 trees uprooted, broke windows all over city due to strong winds and brought about a record storm surge, according to South China Morning Post.

Total exports to Asia rose 5.4% YoY in September with Thailand leading the regional growth at 23.2%. Exports to Korea, Malaysia, the Philippines and the Mainland also rose by 9.9%, 9.4%, 7.6% and 7% respectively.

However, exports to Japan and Taiwan fell by 13.9% and 9.5% respectively. Trade volumes to farther destinations like Germany and UK also fell 15.5% and 6.9%.

Exports of electrical machinery, apparatus and appliances, and electrical parts booked the largest monthly growth at 12.8% in September. This was followed by miscellaneous manufactured articles including jewellery, goldsmiths’ and silversmiths’ wares and office machines and automatic data processing machines at 11.2% and 5% respectively.

Hong Kong imports also rose 4.8% YoY in September to $422.7b on the back of larger import volumes from major suppliers including Malaysia (51.4%), Singapore (18.8%) and Korea (9.8%).