Hong Kong exports jump 50.7% in July, driven by growth in AI-related electronics

Hong Kong's exports surged by an impressive 50.7 percent in July compared to the previous year, propelled by a notable growth in artificial intelligence-related electronic products. The government anticipates this robust demand to sustain trade development despite geopolitical risks. Provisional figures revealed that exports reached HK$672.5 billion (US$86.2 billion) in July, following a 53.4 percent increase in June.

The government spokesperson credited July's strong performance to the surge in AI-related electronic products and a substantial boost in exports to major markets. The spokesperson forecasted that the sustained global demand for AI-related electronic products would further bolster Hong Kong's merchandise trade performance. However, the spokesperson cautioned about the need to remain vigilant against geopolitical risks in the Middle East and growing trade protectionism in certain advanced economies.

Imports increased by 41 percent year-on-year to HK$677.4 billion in July. Despite this rise, Hong Kong recorded a trade deficit of HK$4.9 billion, representing 0.7 percent of the import value. June saw exports jump by 53.4 percent year-on-year to a record HK$641.1 billion (US$81.7 billion), the fastest monthly growth since March 1984. Imports surged by 45.4 percent to HK$693 billion, resulting in a trade deficit of HK$52 billion for the month.

During the first half of 2026, exports rose by 39.1 percent year-on-year, while imports grew by 40.6 percent, leading to a trade deficit of HK$294.6 billion. Hong Kong's position as a re-export hub has been strengthened by significant shipments of chips from mainland China and increased trade in electronic components. Electrical machinery and parts, office and data-processing machines, and telecommunications equipment contributed significantly to the growth.

Hong Kong's economy expanded by 5.1 percent year-on-year in the first half, marking its strongest half-year performance in nearly five years. The government revised its full-year economic growth forecast upward to 3.5-4.5 percent from 2.5-3.5 percent, citing the stronger-than-expected first-half performance and persistent global demand for AI-related products.