Hong Kong’s merchandise exports were severely impacted by the coronavirus pandemic that affected China during the first quarter of 2020, declining by 9.7% over the same period a year earlier, with the jewellery sector being among the more badly affected, according to statistics released by the Census and Statistics Department of the Hong Kong SAR government.

The jewellery industry which comes under the "miscellaneous manufactured articles (mainly jewellery, goldsmiths' and silversmiths' wares)" saw a drop in exports of nearly HK$10.5 billion or -20.4% over the same quarter a year earlier, with March itself seeing a fall of HK$3.7 billion or -20.8% over the same month a year earlier.

Similarly, while total imports during the month of March 2020 were down by 11.1% as compared to March 2019 and imports over Q1 2020 declined by 10% compared to the same period a year earlier, the imports of miscellaneous manufactured articles (mainly jewellery, goldsmiths' and silversmiths' wares) were down by 16.2% y-o-y to HK$ 22.4 bn in March 2020 and by 16.8% y-o-y to HK$ 53.39 bn during Q1 2020.

The HK SAR reported a “visible trade deficit of $34.7 billion, equivalent to 9.7% of the value of imports of goods” in March 2020.

A government spokesman said that merchandise exports remained weak in March, falling by 5.8% from a year earlier in value terms. While exports to the Mainland rebounded alongside the gradual resumption of economic activities there, exports to many other major markets, including the US and EU, plunged further.

Comparing the first quarter of 2020 with the preceding quarter on a seasonally adjusted basis, the value of total exports of goods decreased by 9.8%.

Looking ahead, as COVID-19 has spread across the world since March and caused a severe contraction of global economic activity, Hong Kong's merchandise exports will remain under notable pressure in the near term. The Government will continue to monitor the situation closely.