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The Census and Statistics Department (C&SD) released today (February 9) the trade in services statistics for 2008, with detailed breakdowns by type of service and by destination/source.
Overall situation
In 2008, the value of total exports of services rose by 8.6% over 2007 to $717.2 billion, and that of total imports of services grew by 10.3% over the same period to $366.5 billion. An invisible trade surplus at $350.8 billion, equivalent to 95.7% of the value of total imports of services, was recorded in 2008. This was larger than the corresponding surplus of $328.5 billion, equivalent to 98.9% of the value of total imports of services, in 2007.
Trade in services by major service group
Analysed by major service group, transportation services and merchanting and other trade-related services were the two largest groups in exports of services, accounting for 31.4% and 30.1% respectively of the value of total exports of services in 2008. They were followed by travel services (16.6%), financial services (12.8%) and insurance services (0.6%). Other services had a total share of 8.5%.
Within the group of exports of merchanting and other trade-related services, "merchanting" and "merchandising for offshore transactions", which are both regarded as services relating to "offshore trade", together took up a share of 94.5% of the total export value of the group (or 28.4% of the value of total exports of services) in 2008. Owing to their significance, a separate press release on "Hong Kong's Offshore Trade Statistics for 2008" was issued today.
As for imports of services, travel services accounted for 34.2% of the value of total imports of services in 2008, followed by transportation services (33.6%), merchanting and other trade-related services (7.3%), financial services (6.7%) and insurance services (1.5%). Other services had a total share of 16.6%.
Amongst various major service groups, the net exports of merchanting and other trade-related services contributed most significantly to the overall invisible trade surplus, at $189.1 billion in 2008. This was followed by transportation services ($101.7 billion), and financial services ($67.6 billion). On the other hand, invisible trade deficits were recorded for travel services, insurance services and other services, at $6.2 billion, $1.4 billion and less than $0.1 billion respectively.
Trade in services by main destination/source
The mainland of China (the Mainland) and the United States were Hong Kong's two major destinations of exports of services, accounting for 25.0% and 21.4% respectively of the value of total exports of services (excluding the value of financial intermediation services, which had no geographical breakdown) in 2008. They were followed by the United Kingdom (7.6%), Japan (6.5%) and Taiwan (5.2%).
The Mainland and the United States were also the major sources of imports of services, accounting for 25.6% and 14.8% respectively of the value of total imports of services (excluding the value of financial intermediation services, which had no geographical breakdown) in 2008. They were followed by Japan (8.4%), the United Kingdom (7.2%) and Singapore (5.8%).
Trade in services by region
For exports of services, Asia was the most important destination, accounting for 48.3% of the value of total exports of services (excluding the value of financial intermediation services, which had no geographical breakdown) in 2008, followed by North America (23.2%), Western Europe (20.8%), Australasia and Oceania (3.1%) and Central and South America (1.4%).
For imports of services, Asia was also the most important source, accounting for 55.1% of the value of total imports of services (excluding the value of financial intermediation services, which had no geographical breakdown) in 2008, followed by Western Europe (18.4%), North America (17.8%), Australasia and Oceania (5.4%) and Central and South America (0.9%).
Commentary
A Government spokesman notes that exports of services still rose notably for 2008 as a whole in most of the major service groups as the global recession triggered by the financial tsunami only began to take effect in the final months of the year. It is worth noting that exports of financial services suffered a decline in 2008, indicative of the impact from the evolving global financial crisis that began with the subprime mortgage crisis in the US since mid-2007.
The spokesman further points out that the Mainland remained the largest destination of Hong Kong's exports of services in 2008, accounting for around one-quarter of the total. The continuing economic and financial integration between Hong Kong and the Mainland, with the strong foundation laid by the CEPA and other initiatives, should render a lot of business opportunities for Hong Kong companies and professionals. This development was particularly important to Hong Kong as the Mainland was the first among the major economies worldwide emerging from the global recession.
Further information
Table 1 presents exports, imports and net exports of services by major service group in 2007 and 2008.
Table 2 presents exports of services by main destination in 2007 and 2008.
Table 3 presents imports of services by main source in 2007 and 2008.
Table 4 presents exports, imports and net exports of services by region of destination/source in 2007 and 2008.
More detailed trade in services statistics will be given in the "Report on Hong Kong Trade in Services Statistics for 2008". Users can download the publication free of charge at the website of the Census and Statistics Department (C&SD) (www.censtatd.gov.hk/products_and_services/products/publications/statistical_report/external_trade/index.jsp) as from 26 February 2010.
Enquiries about trade in services statistics can be directed to the Trade in Services Statistics Section of the C&SD (Tel. : 2802 1372 or E-mail : tis@censtatd.gov.hk).
Ends/Tuesday, February 9, 2010
Issued at HKT 16:31
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