2017.07.2705:28:00UTC+00Hong Kong's Trade Deficit Widens In June

Hong Kong's trade deficit increased in June despite an acceleration in shipments, the Census and Statistics Department said Thursday.

The visible trade deficit increased to HK$48.28 billion from HK$35.65 billion in May. The deficit also widened from HK$45.59 billion in the same period of previous year.

Economists had forecast the shortfall to narrow to HK$42.9 billion in June.

Exports growth accelerated to 11.1 percent annually from 4 percent in May. The rate was also faster than the 6.4 percent increase economists' had forecast.

Likewise, growth in imports rose to 10.4 percent from 6.6 percent in the previous month. Imports were forecast to grow only 5.2 percent.

The government spokesman said looking ahead, sustained growth in the global economy would render further support to Hong Kong's external trade.

While downside risks in the external environment have receded, uncertainties still persist, including those arising from US monetary policy normalisation, negotiations related to post-Brexit arrangement, the possible rise in protectionist sentiment and geopolitical tensions in various regions, the spokesman added.