Trade falters yet again

As expected, the balance of trade in January fell— but much sharper than expected.

The Census & Statistics Department said exports plummeted 40% to $3.7 billion year-on-year while re-exports fell 8% to $256 billion. Combined, both exports and re-exports tumbled 9.6% to $259 billion year-on-year.

The department warned Hong Kong's export outlook remains bleak in the near future. It continues to warn that the Eurozone crisis is a plague on the global economic outlook and weighs heavily on Asia's production activities.

Exports to Asia dropped 12%, with large decreases recorded in major markets such as Taiwan, Singapore and Thailand. Lower exports were also noted in other regions, particularly Germany and the USA.