Hong Kong exports decreased less-than-expected in December at the slowest pace in two years, data from the Census and Statistics Department showed Tuesday.
Exports dropped 1.1 percent year-on-year following 3.5 percent fall in November. Economists had forecast a 2.7 percent slump. The latest decrease was the smallest since January 2014.
Imports declined 4.6 percent year-on-year after an 8.1 percent decline in the previous month. Economists were looking for a 7.2 percent slump. The latest fall was the weakest since June.
The trade deficit narrowed to HK$45.70 billion from HK$59.25 billion a year ago. Economists had expected a HK$39.6 billion shortfall.
In the full year 2015, exports decreased 1.8 percent and imports fell 4.1 percent from the previous year. The visible trade deficit narrowed to HK$441.1 billion from HK$546.29 billion.
The slower pace of decline in merchandise exports echoed the subdued regional production and trading activities amid the sluggish global demand conditions, a government spokesman said. Exports to most of the major markets were still weak, the spokesman noted.
“Looking ahead, the external trading environment will remain challenging,” the spokesman said.
“The tepid global economic growth, coupled with uncertainties stemming from monetary policy normalization in the US, diverging monetary policy among major central banks and heightened geopolitical tensions in various regions, would continue to constrain Hong Kong’s export performance in the near term.”
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