Retail sales in Hong Kong saw a dip in September, driven by reduced spending on luxury items and a rise in outbound travel. According to the Census and Statistics Department, sales revenue from high-end goods like jewelry, watches, clocks, and other valuable gifts dropped 18% year-over-year, totaling HKD 3.55 billion ($456.4 million). While this decline is notable, it’s an improvement from August, when luxury sales decreased by 24%. Across all retail categories, total sales fell by 7%, reaching HKD 29.57 billion ($3.8 billion).
This year’s September figures faced tough comparisons with the previous year, a period that saw a strong retail surge as the city reopened its borders, welcoming tourists — primarily from mainland China — eager to shop for luxury goods in Hong Kong. Tourism remains a significant revenue source for Hong Kong’s luxury market, especially given the high volume of Chinese shoppers.
“Retail sales continued to decline in September compared to last year, though at a slower rate,” a government spokesperson explained. “Near-term retail performance will likely be influenced by shifting spending habits among both residents and tourists.”
For the January to September period, luxury sales, specifically in jewelry, watches, clocks, and other valuable gifts, fell 16% to HKD 37.71 billion ($4.85 billion). Total retail sales in this nine-month span dropped 8% to HKD 279.41 billion ($35.93 billion).
A government spokesperson noted that recent economic stimulus measures in mainland China and a potential easing of the Hong Kong dollar in line with the US dollar could help boost consumer confidence and spending. They added, “Additionally, various government measures to benefit Hong Kong, improve market sentiment, and increase employment earnings are expected to support the retail sector.”
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