July exports shrunk 5.7% to $338.6b

Electrical machinery, apparatus and appliances, and electrical parts registered a 6.9% YoY decrease to $9.7b.

The value of total exports of goods in Hong Kong fell by 5.7% YoY to $338.6b, extending 9% YoY decline recorded in June, according to data from the Census and Statistics Department (C&SD).

Also read: Total export volume down 5.2% in H1

The value of the total import of goods also declined by 8.7% YoY to $370.8b over the same period, following a 7.5% fall in June.

C&SD also noted a visible trade deficit amounting to $32.2b, equivalent to 8.7% of the value of imports of goods, recorded over the same period.

For the first seven months of 2019, the value of exports dropped by 3.9% compared to the same period last year, whilst the value of imports decreased by 5.1%. A visible trade deficit of $276.8b, equivalent to 11.0% of the value of imports, was also recorded over the same period.

Comparing the three-month period ending July 2019 with the preceding three months on a seasonally adjusted basis, the value of total exports of goods decreased by 0.8% whilst the value of imports of goods decreased by 1.3%.

“In the face of the difficult external environment and the further escalation of trade tensions in September, Hong Kong's near-term export performance should remain sluggish or may even weaken further,” a government spokesperson commented.

Also read: Economic conditions in H1 weakest in a decade: government economist

According to the spokesperson, the value of merchandise exports fell further in July due to softening global economic growth and trade tensions. These external developments also continued to drag on manufacturing and trading activities in many Asian economies, resulting in merchandise exports to many major markets registering declines of varying degrees in July.

Electrical machinery, apparatus and appliances, and electrical parts registered a 6.9% YoY decrease to $9.7b, followed by office machines and automatic data processing machines with an 8.7% fall to $3.3b. Telecommunications and sound recording and reproducing apparatus and equipment also recorded a 4.5% YoY decrease to $2.8b.