(RTTNews) - Hong Kong’s trade deficit worsened in July from last year, a report by the Census and Statistics department said Thursday. Moreover,total imports grew at a faster pace than exports.

The report said that despite good export performance in July, the outlook for the rest of the year remains clouded as uncertainties in the global environment existed. Particularly, the weakness in the US market was expected to continue to drag down exports.

The trade deficit was valued at HKD 19.5 billion in July, up from the deficit of HKD 8.2 billion in the previous year.

Total exports value grew 11.1% in July to HKD 265.1 billion. In June, total exports fell 0.6%. Analysts expected exports to rise 5.5%.

July’s rise was helped by a 12.4% rise in re-exports, partly offset by a 16.3% decline in the value of domestic exports. Re-exports were valued HKD256.4 billion, while domestic exports totaled HKD 8.8 billion.

The value of imports increased 15.4% compared with 1.3% growth in the previous month. The value of imports increased to HKD 284.6 billion from HKD 264.7 billion. The market consensus called for a 8.3% increase.

Among the commodity groups, the fastest growth in exports of 56.1% was in professional, scientific and controlling instruments and apparatus. This was followed by a 36.6% increase for telecommunications and sound recording and reproducing apparatus and equipment.

Double-digit growth ranging between 10% and 34% was also witnessed for some other goods. Most other categories showed a rise, but exports of textiles and related products, and apparel and clothing accessories declined.

Within imports, the fastest growth in imports of 97.3% was of petroleum and related products. This was followed by a 34.2% increase for telecommunication and related devices, and a 29.5% rise in those of non-metallic mineral manufactures.

Few other categories showed double-digit growth that included plastic in primary form and miscellaneous manufactured articles. However, imports of textile related items, and clothing, accessories declined.

Among the trading partners, exports rose the most to India. Exports to this region rose 25.6%, followed by 21.4% growth to Germany. Double-digit growth was seen in exports to Mainland China, Singapore and Korea.

Within imports, the fastest growth of 20.9% was from Korea, followed by 15.6% growth from India, and a 15.5% rise from Germany. Imports rose in double-digits from Mainland China, Japan, Singapore, USA, Korea and Thailand.

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Posted in Categories: Economy, Eurozone, Japan, Releases, USA.

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