HK on track to hit 3% export growth: HKTDC

Many exporters opted to “frontload” their orders in the early months of 2025.

Hong Kong is still on course to reach an export growth of 3% this year amidst market uncertainties, according to the Hong Kong Trade Development Council (HKTDC).

In anticipation of a hefty tariff regime, many exporters opted to “frontload” their orders in the early months of 2025.

Moreover, Hong Kong has low exposure to the US market as US-bound exports in 2024 accounted for just 6.5% of total exports.

Despite a 10.5% drop in Hong Kong’s exports to the US over the last eight years, Hong Kong’s total exports for the period recorded a 17.2% increase.

Taken together, should a high level of US tariffs be reinstated, only about 3.4% of Hong Kong’s total exports would be affected.

However, the overall reading for the HKTDC Export Confidence Index in the second quarter fell below 50 for the first time in a year.

In other findings, Hong Kong exporters' confidence remained high regarding prospects in both the ASEAN bloc (59.9) and Mainland China (52.6).

The Current Performance of three of the six key Hong Kong industry sectors Index remained positive, with Jewellery at 51.6, Timepieces at 52.1, and Equipment and Materials at 50.4.

In the case of the other three sectors, Electronics and Clothing (both 48.9) were marginally below the watershed level, whilst Toys (43.1) continued its recent decline.