External merchandise trade statistics for February 2023
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As the trade flows in January and February of each year tend to show considerable volatilities due to difference in timing of the Lunar New Year holidays, it is useful to analyse the trade figures for these two months taken together.
Taking January and February of 2023 as a whole to neutralise the distortion caused by the difference in timing of the Lunar New Year holidays, the value of total exports of goods decreased by 25.4% over the same period in 2022. Concurrently, the value of imports of goods decreased by 18.9%. A visible trade deficit of $71.0 billion, equivalent to 11.0% of the value of imports of goods, was recorded in the first two months of 2023.
In February 2023, the value of total exports of goods decreased by 8.8% over a year earlier to $286.2 billion, after a year-on-year decrease of 36.7% in January 2023. Concurrently, the value of imports of goods decreased by 4.1% over a year earlier to $331.6 billion in February 2023, after a year-on-year decrease of 30.2% in January 2023. A visible trade deficit of $45.4 billion, equivalent to 13.7% of the value of imports of goods, was recorded in February 2023.
Comparing the three-month period ending February 2023 with the preceding three months on a seasonally adjusted basis, the value of total exports of goods decreased by 7.7%. Meanwhile, the value of imports of goods decreased by 3.7%.
Analysis by country/territory
Comparing February 2023 with February 2022, total exports to Asia as a whole dropped by 10.6%. In this region, decreases were registered in the values of total exports to some major destinations, in particular Japan (-23.1%), India (-18.5%), Taiwan (-15.9%), Singapore (-14.2%) and the mainland of China (the Mainland) (-12.7%). On the other hand, increases were recorded in the values of total exports to Korea (+30.0%) and Vietnam (+10.3%).
Apart from destinations in Asia, decreases were registered in the values of total exports to some major destinations in other regions, in particular Germany (-22.6%).
Over the same period of comparison, decreases were registered in the values of imports from some major suppliers, in particular Korea (-49.1%), Singapore (-34.0%), Taiwan (-30.1%) and Japan (-9.8%). Concurrently, increases were recorded in the values of imports from India (+37.3%), Vietnam (+12.1%) and the Mainland (+6.7%).
For the first two months of 2023 as a whole, year-on-year decreases were registered in the values of total exports to some major destinations, in particular Japan (-39.5%), Taiwan (-32.6%), the Mainland (-31.0%) and India (-24.6%).
Over the same period of comparison, year-on-year decreases were registered in the values of imports from most major suppliers, in particular Korea (-42.0%), Singapore (-28.5%), Taiwan (-23.8%), the Mainland (-22.0%), Vietnam (-19.7%) and Japan (-19.7%).
Analysis by major commodity
Comparing February 2023 with February 2022, decreases 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 $20.9 billion or -13.4%), "office machines and automatic data processing machines" (by $5.5 billion or -16.5%) and "professional, scientific and controlling instruments and apparatus" (by $4.7 billion or -36.3%). On the other hand, an increase was registered in the value of total exports of "non ferrous metals" (by $3.4 billion or 109.3%).
Over the same period of comparison, decreases were registered in the values of imports of some principal commodity divisions, in particular "electrical machinery, apparatus and appliances, and electrical parts thereof" (by $36.3 billion or -21.7%), "office machines and automatic data processing machines" (by $4.9 billion or -18.2%) and "professional, scientific and controlling instruments and apparatus" (by $2.5 billion or -20.6%). Concurrently, an increase was registered in the value of imports of "non-metallic mineral manufactures" (by $8.7 billion or 77.8%).
For the first two months of 2023 as a whole, year-on-year decreases were registered in the values of total exports of most principal commodity divisions, in particular "electrical machinery, apparatus and appliances, and electrical parts thereof" (by $99.7 billion or -27.3%), "office machines and automatic data processing machines" (by $37.4 billion or -39.9%) and "telecommunications and sound recording and reproducing apparatus and equipment" (by $19.9 billion or -20.9%).
Over the same period of comparison, year-on-year decreases were registered in the values of imports of some principal commodity divisions, in particular "electrical machinery, apparatus and appliances, and electrical parts thereof" (by $96.4 billion or -26.6%), "office machines and automatic data processing machines" (by $27.4 billion or -37.5%) and "telecommunications and sound recording and reproducing apparatus and equipment" (by $18.2 billion or -19.3%).
Commentary
A Government spokesman said that taking the first two months of 2023 together to remove the distortion caused by the different timing of Lunar New Year, the value of merchandise exports fell notably from a year earlier amid the weak external environment. Exports to all major markets fell by varying degrees.
Looking ahead, the expected growth moderation in the advanced economies will continue to weigh on Hong Kong's export performance in the near term. Nonetheless, the accelerated recovery of the Mainland economy, coupled with the removal of cross-boundary truck movement restrictions between Hong Kong and the Mainland, should alleviate part of the pressure. The Government will monitor the situation closely.
Further information
Table 1 presents the analysis of external merchandise trade statistics for February 2023. Table 2 presents the original monthly trade statistics from January 2020 to February 2023, and Table 3 gives the seasonally adjusted series for the same period.
The values of total exports of goods to 10 main destinations for February 2023 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 February 2023.
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 February 2023 will be released in mid-April 2023.
The February 2023 issue of "Hong Kong External Merchandise Trade" contains detailed analysis on the performance of Hong Kong's external merchandise trade in February 2023 and will be available in mid-April 2023. Users can download the publication at the website of the C&SD (www.censtatd.gov.hk/en/scode230.html).
Enquiries on merchandise trade statistics may be directed to the Trade Analysis Section (2) of the C&SD (Tel: 2582 5042).
Ends/Monday, March 27, 2023
Issued at HKT 16:30
Issued at HKT 16:30
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