The Census and Statistics Department (C&SD) released today (September 27) the external merchandise trade statistics for August 2016. In August 2016, the values of Hong Kong's total exports and imports of goods both showed year-on-year increases, at 0.8% and 2.8% respectively.

     In August 2016, the value of total exports of goods (comprising re-exports and domestic exports) increased by 0.8% over a year earlier to $309.7 billion, after a year-on-year decrease of 5.1% in July 2016. Within this total, the value of re-exports increased by 0.8% to $305.7 billion in August 2016, whereas the value of domestic exports decreased by 3.4% to $4.0 billion. Concurrently, the value of imports of goods increased by 2.8% over a year earlier to $341.8 billion in August 2016, after a year-on-year decrease of 3.3% in July 2016. A visible trade deficit of $32.1 billion, equivalent to 9.4% of the value of imports of goods, was recorded in August 2016.

     For the first eight months of 2016 as a whole, the value of total exports of goods dropped by 3.4% over the same period in 2015. Within this total, the value of re-exports decreased by 3.3%, while the value of domestic exports decreased by 13.0%. Concurrently, the value of imports of goods decreased by 4.2%. A visible trade deficit of $264.8 billion, equivalent to 10.5% of the value of imports of goods, was recorded in the first eight months of 2016.

     Comparing the three-month period ending August 2016 with the preceding three months on a seasonally adjusted basis, the value of total exports of goods decreased by 0.1%. Within this total, the value of re-exports decreased by 0.2%, whereas the value of domestic exports went up by 6.8%. Meanwhile, the value of imports of goods increased by 2.8%.

Analysis by country/territory

     Comparing August 2016 with August 2015, total exports to Asia as a whole grew by 3.8%. In this region, increases were registered in the values of total exports to some major destinations, in particular India (+27.4%), Taiwan (+20.8%), the mainland of China (the Mainland) (+4.3%), Korea (+3.2%) and Malaysia (+1.6%). On the other hand, decreases were recorded in the values of total exports to Vietnam (-13.5%), Japan (-11.0%) and the Philippines (-2.3%).

     Apart from destinations in Asia, decreases were registered in the values of total exports to some major destinations in other regions, in particular the USA (-8.7%), Germany (-8.5%) and the United Kingdom (-8.3%).

     Over the same period of comparison, increases were registered in the values of imports from some major suppliers, in particular India (+20.5%), Singapore (+16.3%), Korea (+14.4%), Taiwan (+13.9%) and the Philippines (+8.5%). Concurrently, decreases were registered in the values of imports from Malaysia (-9.2%), Thailand (-8.4%), Japan (-5.2%) and the Mainland (-0.3%).

     For the first eight months of 2016 as a whole, year-on-year decreases were registered in the values of total exports to some major destinations, in particular Vietnam (-8.4%), the USA (-6.1%), Japan (-5.6%), Korea (-4.4%), the Mainland (-3.7%) and Germany (-2.1%).

     Over the same period of comparison, year-on-year decreases were registered in the values of imports from some major suppliers, in particular Japan (-9.0%), the USA (-7.4%), Malaysia (-7.0%), the Mainland (-5.0%) and Thailand (-4.2%). On the other hand, year-on-year increases were registered in the values of imports from India (+7.8%) and Taiwan (+2.0%).

Analysis by major commodity

     Comparing August 2016 with August 2015, increases were registered in the values of total exports of some principal commodity divisions, in particular "electrical machinery, apparatus and appliances, and electrical parts thereof" (by $11.9 billion or 12.0%), "non-metallic mineral manufactures" (by $2.0 billion or 17.6%) and "telecommunications and sound recording and reproducing apparatus and equipment" (by $1.4 billion or 2.2%). However, a decrease was registered in the value of total exports of "office machines and automatic data processing machines" (by $3.3 billion or -9.9%).

     Over the same period of comparison, increases were registered in the values of imports of some principal commodity divisions, in particular "electrical machinery, apparatus and appliances, and electrical parts thereof" (by $15.6 billion or 14.6%) and "non-metallic mineral manufactures" (by $1.7 billion or 13.4%). However, decreases were registered in the values of imports of "office machines and automatic data processing machines" (by $3.1 billion or -10.3%) and "miscellaneous manufactured articles (mainly jewellery, goldsmiths' and silversmiths' wares)" (by $1.7 billion or -8.4%).

     For the first eight months of 2016 as a whole, year-on-year decreases were registered in the values of total exports of some principal commodity divisions, in particular "office machines and automatic data processing machines" (by $34.9 billion or -13.3%), "miscellaneous manufactured articles (mainly jewellery, goldsmiths' and silversmiths' wares)" (by $16.1 billion or -11.7%) and "articles of apparel and clothing accessories" (by $13.5 billion or -14.3%). However, a year-on-year increase was registered in the value of total exports of "electrical machinery, apparatus and appliances, and electrical parts thereof" (by $31.1 billion or 4.2%).

     Over the same period of comparison, year-on-year decreases were registered in the values of imports of most principal commodity divisions, in particular "telecommunications and sound recording and reproducing apparatus and equipment" (by $25.7 billion or -5.5%), "office machines and automatic data processing machines" (by $25.5 billion or -11.3%) and "miscellaneous manufactured articles (mainly jewellery, goldsmiths' and silversmiths' wares)" (by $9.6 billion or -6.1%). However, a year-on-year increase was registered in the value of imports of "electrical machinery, apparatus and appliances, and electrical parts thereof" (by $47.3 billion or 5.8%).

Commentary

     A Government spokesman noted that the value of merchandise exports reverted to a slight year-on-year increase in August. While exports to major advanced markets continued to decline, those to the Mainland and some other Asian markets increased by varying degrees.

     The spokesman commented further that looking ahead, Hong Kong's export performance will still depend on global demand conditions. In the near term, the external environment will likely remain unsteady, given the fragile recovery of some advanced economies, monetary policy divergence among major central banks, uncertainties stemming from Brexit and heightened geopolitical tensions in various regions. The Government will monitor the situation closely.

Further information

     Table 1 at the annex presents the analysis of external merchandise trade statistics for August 2016. Table 2 presents the original monthly trade statistics from January 2013 to August 2016, and Table 3 gives the seasonally adjusted series for the same period.

     The values of total exports of goods to 10 main destinations for August 2016 are shown in Table 4, whereas the values of imports of goods from 10 main suppliers are given in Table 5.

     Tables 6 and 7 show the values of total exports and imports of 10 principal commodity divisions for August 2016.

     All the merchandise trade statistics described here are measured at current prices and no account has been taken of changes in prices between the periods of comparison. A separate analysis of the volume and price movements of external merchandise trade for August 2016 will be released in mid-October 2016.

     The August 2016 issue of "Hong Kong External Merchandise Trade" contains detailed analysis on the performance of Hong Kong's external merchandise trade in August 2016. Detailed merchandise trade statistics analysed by commodity and by country/territory are published in the August 2016 issue of "Hong Kong Merchandise Trade Statistics". The two publications will be available in mid-October 2016. Users can download them free of charge at the website of the C&SD (www.censtatd.gov.hk/hkstat/sub/sp230.jsp).

     Enquiries on merchandise trade statistics may be directed to Trade Analysis Section (2) of the C&SD (Tel: 2582 5042).

Ends/Tuesday, September 27, 2016
Issued at HKT 16:30

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