HK retail sales fall 7.3% YOY in November

Hong Kong's retail sales have plummeted for nine months in a row, with a 7.3% YOY decrease in November 2024 compared to a year ago. 

According to the latest figures released by the Census and Statistics Department, the value of the total retail sales in November 2024 was provisionally estimated at HK$31.7 billion. For the first 11 months of 2024 taken together, it was provisionally estimated that the value of total retail sales decreased by 7.1% compared with the same period in 2023. 

The value of online retail sales in November 2024, provisionally estimated at HK$2.9 billion, decreased by 7.0% compared with the same month in 2023. For the first 11 months of 2024 taken together, it was provisionally estimated that the value of online retail sales decreased by 1.2% compared with the same period in 2023. 

Analysed by broad type of retail outlet in descending order of the provisional estimate of the value of sales and comparing November 2024 with November 2023, the value of sales of jewellery, watches and clocks, and valuable gifts decreased by 5.4%.  

This was followed by sales of electrical goods and other consumer durable goods not elsewhere classified (-18.0% in value); wearing apparel (-7.5%); commodities in department stores (-12.3%); medicines and cosmetics (-2.9%); motor vehicles and parts (-34.4%); fuels (-9.9%); footwear, allied products and other clothing accessories (-1.7%); furniture and fixtures (-20.5%); books, newspapers, stationery and gifts (-6.5%); Chinese drugs and herbs (-19.3%); and optical shops (-11.8%). 

On the other hand, the value of sales of commodities in supermarkets increased by 3.5% in November 2024 over a year earlier. This was followed by sales of other consumer goods not elsewhere classified (+1.4% in value); and food, alcoholic drinks and tobacco (+0.4%). 

A government spokesman said that the value of total retail sales continued to decline in November from a year earlier alongside the change in consumption patterns and the relatively strong Hong Kong dollar. 

Looking ahead, the spokesman said that the change in consumption patterns of visitors and residents will continue to weigh on the performance of the retail sector. 

Nevertheless, the introduction of various measures by the Chinese government to boost the Mainland economy and benefit Hong Kong, including the resumption and expansion of the multiple-entry Individual Visit Scheme for Shenzhen since December, together with the Hong Kong government's various initiatives to boost market sentiment, as well as increasing employment earnings, would be conducive to spending by both visitors and residents in the local market. 

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