The Census and Statistics Department (C&SD) released today (February 27) the external merchandise trade statistics for January 2017. In January 2017, the values of Hong Kong's total exports and imports of goods both recorded year-on-year decreases, at 1.2% and 2.7% respectively.

     In January 2017, the value of total exports of goods (comprising re-exports and domestic exports) decreased by 1.2% over a year earlier to $296.3 billion, after a year-on-year increase of 10.1% in December 2016. Within this total, the value of re-exports decreased by 1.1% to $293.1 billion in January 2017, while the value of domestic exports decreased by 5.3% to $3.2 billion. Concurrently, the value of imports of goods decreased by 2.7% over a year earlier to $308.6 billion in January 2017, after a year-on-year increase of 8.7% in December 2016. A visible trade deficit of $12.3 billion, equivalent to 4.0% of the value of imports of goods, was recorded in January 2017.

     Comparing the three-month period ending January 2017 with the preceding three months on a seasonally adjusted basis, the value of total exports of goods increased by 5.2%. Within this total, the value of re-exports increased by 5.2%, whereas the value of domestic exports went down by 1.2%. Meanwhile, the value of imports of goods increased by 3.6%.

Analysis by country/territory

     Comparing January 2017 with January 2016, total exports to Asia as a whole went down by 1.8%. In this region, decreases were registered in the values of total exports to some major destinations, in particular Vietnam (-7.5%), the mainland of China (the Mainland) (-5.8%), the Philippines (-2.9%) and Japan (-2.2%). On the other hand, increases were recorded in the values of total exports to Taiwan (+26.3%), India (+22.2%) and Korea (+21.7%).

     Apart from destinations in Asia, increases were registered in the values of total exports to some major destinations in other regions, in particular Germany (+9.0%) and the USA (+5.8%). Concurrently, a decrease was registered in the value of total exports to the United Kingdom (-4.8%).

     Over the same period of comparison, decreases were registered in the values of imports from some major suppliers, in particular Malaysia (-14.2%), the USA (-13.2%), Japan (-6.2%), Thailand (-5.4%) and the Mainland (-4.8%). Concurrently, increases were registered in the values of imports from Korea (+27.6%), the Philippines (+19.6%) and Singapore (+18.6%).

     Comparing the three months ending January 2017 with the three months ending January 2016, year-on-year increases were registered in the values of total exports to some major destinations, in particular Taiwan (+36.4%), India (+25.0%), the Netherlands (+18.7%), Korea (+17.5%), Singapore (+16.3%) and the Mainland (+7.1%). However, year-on-year decreases were registered in the values of total exports to the USA (-3.1%) and Germany (-0.3%).

     Over the same period of comparison, year-on-year increases were registered in the values of imports from most major suppliers, in particular Korea (+44.6%), the Philippines (+23.7%), Singapore (+23.5%) and Taiwan (+14.7%). The value of imports from the Mainland also increased by 0.1%. On the other hand, a year-on-year decrease was registered in the value of imports from Malaysia (-4.0%).

Analysis by major commodity

     Comparing January 2017 with January 2016, decreases were registered in the values of total exports of some principal commodity divisions, in particular "non-metallic mineral manufactures" (by $1.9 billion or -13.9%), "power generating machinery and equipment" (by $0.7 billion or -16.1%) and "textile yarn, fabrics, made-up articles and related products" (by $0.7 billion or -13.9%). However, an increase was registered in the value of total exports of "electrical machinery, apparatus and appliances, and electrical parts thereof" (by $1.5 billion or 1.6%).

     Over the same period of comparison, decreases were registered in the values of imports of most principal commodity divisions, in particular "office machines and automatic data processing machines" (by $3.1 billion or -12.2%), "miscellaneous manufactured articles (mainly jewellery, goldsmiths' and silversmiths' wares)" (by $3.1 billion or -16.0%) and "articles of apparel and clothing accessories" (by $1.2 billion or -12.0%). However, an increase was registered in the value of imports of "electrical machinery, apparatus and appliances, and electrical parts thereof" (by $6.7 billion or 6.7%).

     Comparing the three months ending January 2017 with the three months ending January 2016, year-on-year 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 $38.9 billion or 13.1%), "telecommunications and sound recording and reproducing apparatus and equipment" (by $10.4 billion or 5.1%) and "office machines and automatic data processing machines" (by $7.0 billion or 7.2%). However, a year-on-year decrease was registered in the value of total exports of "articles of apparel and clothing accessories" (by $4.6 billion or -12.9%).

     Over the same period of comparison, year-on-year 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 $48.8 billion or 15.2%), "petroleum, petroleum products and related materials" (by $6.6 billion or 50.9%) and "telecommunications and sound recording and reproducing apparatus and equipment" (by $4.6 billion or 2.3%). However, a year-on-year decrease was registered in the value of imports of "office machines and automatic data processing machines" (by $3.9 billion or -4.4%).

Commentary

     A Government spokesman noted that merchandise exports showed a slight year-on-year decline in value terms in January. However, the trade figures for January were distorted by the difference in timing of the Lunar New Year, which fell in late January this year but early February last year. It would thus be more meaningful to analyse the trade figures for January and February combined, when available, for a clearer picture of the underlying trend.

     The spokesman commented further that looking ahead, the recent improvement in global economic conditions, if continued, could render support to Asia's and Hong Kong's exports. Yet, the trading environment is still subject to considerable uncertainties arising from the future US trade policy direction, US interest rate normalisation and unfolding of Brexit. Fragile fundamentals of some major advanced economies and heightened geopolitical tensions in various regions are also sources of concern. The Government will continue to monitor the situation closely.

Further information

     Table 1 at the annex presents the analysis of external merchandise trade statistics for January 2017. Table 2 presents the original monthly trade statistics from January 2014 to January 2017, and Table 3 gives the seasonally adjusted series for the same period.

     The values of total exports of goods to 10 main destinations for January 2017 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 January 2017.

     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 January 2017 will be released in mid-March 2017.

     The January 2017 issue of "Hong Kong External Merchandise Trade" contains detailed analysis on the performance of Hong Kong's external merchandise trade in January 2017. Detailed merchandise trade statistics analysed by commodity and by country/territory are published in the January 2017 issue of "Hong Kong Merchandise Trade Statistics". The two publications will be available in mid-March 2017. 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 the Trade Analysis Section (2) of the C&SD (Tel: 2582 5042).

Ends/Monday, February 27, 2017
Issued at HKT 16:30

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