HK retail sales drop 9.7% YOY in December

Hong Kong's retail sales have declined for 10 consecutive months, with a 9.7% YOY decrease in December 2024 compared to a year ago. 

According to the latest figures released by the Census and Statistics Department, the value of total retail sales in December 2024 was provisionally estimated at HK$32.8 billion. The revised estimate of the value of total retail sales in November 2024 decreased by 7.3% compared with a year earlier.

Of the total retail sales value in December 2024, online sales accounted for 7.2%. The value of online retail sales in that month, provisionally estimated at HK$2.4 billion, decreased by 17.2% compared with the same month in 2023. The revised estimate of online retail sales in November 2024 decreased by 7.2% compared with a year earlier.

Analysed by broad type of retail outlet in descending order of the provisional estimate of the value of sales and comparing December 2024 with December 2023, the value of sales of jewellery, watches and clocks, and valuable gifts decreased by 13.8%. 

This was followed by sales of other consumer goods not elsewhere classified (-2.9% in value); commodities in supermarkets (-3.1%); wearing apparel (-11.1%); food, alcoholic drinks and tobacco (-0.6%); commodities in department stores (-8.9%); medicines and cosmetics (-2.2%); electrical goods and other consumer durable goods not elsewhere classified (-20.2%); motor vehicles and parts (-36.3%); fuels (-11.2%); footwear, allied products and other clothing accessories (-4.9%); Chinese drugs and herbs (-2.2%); furniture and fixtures (-22%); books, newspapers, stationery and gifts (-9.6%); and optical shops (-7.5%).

For 2024 as a whole, the value of total retail sales was provisionally estimated at HK$376.8 billion, decreased by 7.3% in value and 9.0% in volume compared with 2023. The value of online retail sales was provisionally estimated at HK$31.7 billion, decreased by 2.6% over 2023.

Comparing the whole year of 2024 with the whole year of 2023, the value of sales of jewellery, watches and clocks, and valuable gifts decreased by 14.5%. This was followed by sales of commodities in supermarkets (-1.5% in value); wearing apparel (-10.6%); food, alcoholic drinks and tobacco (-3.2%); electrical goods and other consumer durable goods not elsewhere classified (-11.3%); commodities in department stores (-13.9%); motor vehicles and parts (-17.2%); fuels (-11.4%); footwear, allied products and other clothing accessories (-7.5%); furniture and fixtures (-14.4%); Chinese drugs and herbs (-14.8%); and optical shops (-13.6%).

On the other hand, the value of sales of other consumer goods not elsewhere classified increased by 0.4% in 2024 compared with 2023. This was followed by sales of medicines and cosmetics (+4.4% in value); and books, newspapers, stationery and gifts (+4.7%).

Don't miss: HK retail sales fall 7.3% YOY in November

A government spokesman said that the value of total retail sales declined further in December from a year earlier, partly reflecting the impact of residents' increased outbound trips during the holidays. For the fourth quarter as a whole, the value of total retail sales fell by 6.7% YOY, narrower than the 9.6% decrease in the preceding quarter.

Looking ahead, the spokesman said that the near-term performance of the retail sector would continue to be affected by the change in consumption patterns of visitors and residents. "Nevertheless, the introduction of various measures by the central government to boost the mainland economy and benefit Hong Kong, together with the government's proactive efforts to promote tourism development and boost market sentiment, as well as increase employment earnings, would benefit the retail sector," the spokesman added.

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