Hong Kong retail sales down 3.5% in March

Online sales made up 8.1% of total retail sales.

Retail sales in Hong Kong fell 3.5% year-on-year in March to a provisional $30.1b, according to the Census and Statistics Department. After adjusting for inflation, the volume of retail sales dropped 4.8%.

Online sales made up 8.1% of total retail sales, estimated at $2.4b — down 0.5% from a year earlier.

Sales of jewellery, watches, and valuable gifts dropped 3.9%. Sharp declines were also seen in wearing apparel (-10.8%), department stores (-5%), motor vehicles and parts (-46.4%), fuels (-3.9%), footwear and accessories (-7.7%), Chinese drugs and herbs (-1.0%), books and stationery (-0.9%), furniture (-17.3%), and optical shops (-2.7%).

Meanwhile, supermarket sales rose 5.2%, food and drink sales increased 7.8%, medicines and cosmetics were up 1.2%, and electrical goods rose 6.7%. Miscellaneous consumer goods edged up 0.6%.

The government said growth on the Mainland, tourism, and rising incomes will help support retail, but warned that global uncertainty and changing shopping habits remain key risks.