Sep 19, 2022 20:00 JST
Source: HKTDC
|
|
HKTDC Export Index 3Q22: Exporter confidence continues to improve
Traders more cautious on business strategies
HONG KONG, Sep 19, 2022 - (ACN Newswire) - The sentiment among Hong Kong exporters continues to improve. The HKTDC Export Index increased a further 1.9 points to 32.8 in the third quarter of 2022, indicating a sustained improvement in confidence in the short-term export performance. However, exporters are facing downward pressure on prices, with the Trade Value Index falling 11.5 points to 40.2.
| HKTDC Director of Research Irina Fan and Corey To announced the HKTDC Export Index for the third quarter of 2022 at a press conference (19 September). | |
HKTDC Director of Research Irina Fan told a press conference that a deteriorating external environment was keeping the recovery slower than hoped. "Weakening demand in major markets dampened by high inflation and aggressive monetary tightening, coupled with rising Sino-US trade tensions and other fallouts from the Russia-Ukraine conflict, also cloud the export outlook," she said.
The HKTDC conducts the Export Index survey every quarter, interviewing some 500 Hong Kong exporters from six major industries - machinery, electronics, jewellery, watches and clocks, toys and clothing - to gauge business confidence in near-term export prospects. The Index indicates an optimistic or pessimistic outlook, with 50 as the dividing line.
Shift in focus
Ms Fan said more than half of the respondents (52.0%) in the latest exporters' survey view the shortened quarantine requirement in the Mainland China - a seven-day centralised stay plus three days of home confinement - as positive for business. She added that enabling more flexible business travel arrangements (53.8%), the gradual resumption of cross-border commerce and trade (33.0%), and a smoother production flow (31.8%) were cited as the top benefits.
While the impacts of the pandemic continue to decline, COVID-19-related issues remain among the top concerns for Hong Kong exporters over the next three months. Most respondents said COVID-19 persistence (40.2%) and border closure (22.6%) are the major impediments to export performance.
"To help them deal with this changing environment, Hong Kong businesses are tending to shift from being market-focused to more money-focused," Ms Fan said. Developing other product categories (36.9%) and stabilising finances to ensure sufficient cash flow (35.6%) are the most popular business strategies adopted by the survey respondents. Additionally, more of them said they intend to increase unit prices (35.2%, up 18 percentage points).
Jewellery, Japan outperform
HKTDC Economist Corey To said jewellery was currently the most promising sector with the highest sub-index at 44.2, followed by toys at 37.0. The jewellery sector also showed the largest improvement, with a 9.9-point increase from the previous quarter, while the electronics sector gained 2.3 points to 32.7.
Mr To said Asia continues to provide a relatively promising outlook, adding that Japan remains the best performer at 48.4 (up 0.8 points), followed by the Association of Southeast Asian Nations (ASEAN) bloc (46.9, up 3.6 points) and Mainland China (45.8, up 2.7 points).
Recovering supply chains
He said the pandemic impact on businesses tended to be less severe in the third quarter as compared with April-June. "Fewer respondents experienced negative impacts on their business resulting from the pandemic (77.9%, down 1.2 percentage points). Among them, those whose business had been very negatively affected fell 11.8 percentage points to 23.4%."
Mr To said rising transportation costs (64.1%) and logistics disruptions (51.8%) remained the key challenges for Hong Kong exporters, though both fell significantly - by 8.5 and 13.4 percentage points respectively - from the previous quarter, reflecting the gradual easing of supply chain issues. "But it is worth noting that more respondents reported communications issues with overseas buyers/suppliers (48.2%, up 26.6 percentage points) and order cancellations (21.2%, up 4.5 percentage points)."
References - HKTDC Research website: http://research.hktdc.com/ - HKTDC Export Index 3Q22: Gradual Recovery Underway https://bit.ly/3BetyBI - Photo download: https://bit.ly/3Lm8UUV
About HKTDC
The Hong Kong Trade Development Council (HKTDC) is a statutory body established in 1966 to promote, assist and develop Hong Kong's trade. With 50 offices globally, including 13 in Mainland China, the HKTDC promotes Hong Kong as a two-way global investment and business hub. The HKTDC organises international exhibitions, conferences and business missions to create business opportunities for companies, particularly small and medium-sized enterprises (SMEs), in the mainland and international markets. The HKTDC also provides up-to-date market insights and product information via research reports and digital news channels. For more information, please visit: www.hktdc.com/aboutus. Follow us on Twitter @hktdc and LinkedIn
Media enquiries Please contact the HKTDC's Communication and Public Affairs Department: Beatrice Lam, Tel: +852 2584 4049, Email: beatrice.hy.lam@hktdc.org
Source: HKTDC Sectors: Daily Finance, Daily News, Funds & Equities, Local Biz
Copyright ©2024 ACN Newswire. All rights reserved. A division of Asia Corporate News Network.
|
Latest Press Release
DOCOMO to Launch "NTT DOCOMO GLOBAL" for Global Expansion May 10, 2024 18:13 JST
| Release of "Fugaku-LLM" - a large language model trained on the supercomputer "Fugaku" May 10, 2024 12:20 JST
| Paltalk, Inc. Reports Slight Increase in Revenue and 33% Reduction in Net Loss for First Quarter 2024 May 09, 2024 20:39 JST
| Honda Opens New R&D Facility in Bengaluru to Accelerate Electrification in India May 09, 2024 14:13 JST
| Fujitsu introduces "explainable AI" for use in genomic medicine and cancer treatment planning May 09, 2024 10:41 JST
| Mitsubishi Heavy Industries Increases Dividends on Back of Historically High FY2023 Results, Releases FY2024 Guidance May 08, 2024 14:27 JST
| Rome becomes the first European city to offer open loop transit payments to JCB Cardmembers May 08, 2024 12:00 JST
| NEC X Invests in Public Safety Startup Multitude Insights, Scaling AI-Powered Collaboration and Information Sharing for Law Enforcement May 08, 2024 10:24 JST
| ServiceNow and Fujitsu announce strategic commitment to launch innovative cross-industry solutions May 08, 2024 08:52 JST
| Fujitsu launches mainframe modernization automation service for the Japanese market May 07, 2024 17:53 JST
| MHI Agrees to Collaborate with Chiyoda Corporation for Licensing of CO2 Capture Technologies May 07, 2024 13:49 JST
| Four-strong TOYOTA GAZOO Racing squad to push for more Portugal success May 02, 2024 18:05 JST
| Spectacular Spa awaits TOYOTA GAZOO Racing May 02, 2024 17:46 JST
| Q&M Dental Enhances Digital Capabilities by Integrating Align Technology's Newest iTero Lumina(TM) Intraoral Scanner Across Dental Clinics in Singapore May 02, 2024 11:00 JST
| Sumitomo Metal Mining and Mitsubishi Corporation to Participate in Kalgoorlie Nickel Project - Goongarrie Hub Apr 30, 2024 19:08 JST
| New Immuno-Oncology Research Project in Partnership With Merck Starts at the BioMed X Institute in Heidelberg Apr 30, 2024 18:00 JST
| SPARX Group Establishes Space Frontiers Second Fund Apr 29, 2024 18:49 JST
| MHI Establishes Local Subsidiary "Mitsubishi Heavy Industries Vietnam" Apr 29, 2024 18:00 JST
| POSCO Future M and Honda Reach Basic Agreement on Collaboration for Production of Cathode Materials for Automotive Batteries in Canada Apr 29, 2024 14:25 JST
| Honda Plans to Establish Comprehensive Electric Vehicle Value Chain in Ontario, Canada Apr 29, 2024 14:16 JST
|
More Latest Release >>
|