Hong Kong exports rise 11.9%, with strong showing in mainland China, Asia markets

Hong Kong’s exports jumped by 11.9 per cent in June from a year ago, with the government attributing the sustained performance to the continued expansion of sales to mainland China and other Asian markets, while trade with the West fell. Growth tapered off from a 15.5 per cent year-on-year increase in May, as exports to the United States and European Union declined in June amid the ongoing US-China trade war. Some economists said the drop was likely due to companies no longer front-loading exports to counter tariffs. The value of total exports reached HK$417.8 billion (US$53.5 billion) in June, the Census and Statistics Department said on Monday. A government spokesman said exports to the mainland and other Asian markets continued to “expand visibly”, while those to the US and EU fell. “Looking ahead, the sustained steady growth in various Asian economies, in particular, the mainland economy, as well as Hong Kong’s enhanced economic and trade ties with different markets, should continue to support merchandise trade performance,” the spokesman said. “Nonetheless, the outlook for global trade policy is still uncertain. The government will continue to monitor the situation closely and stay vigilant.” The June trade figures came just ahead of the initial July deadline of a tariff truce between China and the United States. The deadline has since been extended to August, with the Post reporting earlier in an exclusive that the two sides were expected to further extend the truce by another three months. The Post has reported that a high-level American business delegation organised by the US-China Business Council and led by FedEx chief executive Rajesh Subramaniam, the council’s board chair, is expected to visit Beijing for trade talks this week. For the first six months of 2025, total exports rose by 12.5 per cent compared with the same period last year. Imports in June grew by 11.1 per cent to HK$476.7 billion, leaving a trade deficit of HK$58.9 billion. Export growth continued to be driven by a surge in shipments to Asia, climbing 17.2 per cent, while sales to Western markets fell for another month. Notable decreases were registered in the Netherlands, down 35.5 per cent, and the US, down 12.1 per cent. In contrast, shipments to Malaysia were up by 52.6 per cent, with large growth also registered in the Philippines, rising by 48.3 per cent, and Vietnam, with an increase of 37.6 per cent. Professor Terence Chong Tai-leung, executive director of the Chinese University of Hong Kong’s Lau Chor Tak Institute of Global Economics and Finance, said the slight dip in export growth between May and June could be due to businesses no longer frontloading exports to stave off tariffs. The academic said there was less uncertainty now compared with when US President Donald Trump first announced his so-called reciprocal tariffs back in April. Hong Kong exports were not expected to drop by too much given the growth in mainland trade also registered in June, as many of the city’s shipments were re-exported from there, he added. Billy Mak Sui-choi, an associate professor at Baptist University’s department of accountancy, economics and finance, said that any growth rate above 10 per cent was still positive. Mak said that trade with the US was expected to decline given Washington’s policies, but noted the city’s surge in exports to Southeast Asian countries could be the result of businesses adopting a “China plus one” strategy. The term refers to the diversification of business supply chains, at least partially, away from China. “Obviously, the Asean countries, including Vietnam and other Asian countries, will benefit from that kind of operation,” he said. “There is no surprise that Asean countries … have a higher growth in [export] value.” On Sunday, Financial Secretary Paul Chan Mo-po said the city’s economy was set for continued growth in the second quarter on the back of strong exports, a rebound in private consumption and a series of mega-events held in the city. The gross domestic product (GDP) figure is due to be revealed on Thursday. The economy in the first quarter of 2025 grew 3.1 per cent compared with the same period last year, following a 2.5 per cent year-on-year expansion in the fourth quarter of 2024. GDP growth is estimated to reach between 2 and 3 per cent this year, according to the financial secretary’s predictions earlier this year.

Hong Kong exports rise 11.9%, with strong showing in mainland China, Asia markets

.css-1c6uqr6{color:inherit;font-weight:inherit;font-size:inherit;font-family:inherit;line-height:inherit;overflow-wrap:break-word;}Growth tapers off from a 15.5 per cent year-on-year increase in May, as exports to the United States and European Union decline

Growth tapers off from a 15.5 per cent year-on-year increase in May, as exports to the United States and European Union decline