Hong Kong Retail Management Association: 70% of members expect business in November to remain flat or to grow by a single-digit to double-digit percentage.

In October, the total retail sales value of the Hong Kong retail industry is estimated to have increased by 6.9% year-on-year to HK$35.2 billion. Anthony Lo, Executive Director of the Hong Kong Retail Management Association, stated that despite the high retail base in October last year, there was still growth, mainly driven by the peak retail season in October, an increase in visitor arrivals by over 10%, the gifting effect of the Mid-Autumn Festival, and various events. Speaking about the outlook for the retail industry in November, he pointed out that according to a survey of the association's members, 70% of them expect business to remain stable or grow by single to double digits in November. He further mentioned that categories with significant growth include electrical appliances, tobacco and alcohol, and bakery products, due to their association with festivals, and jewelry, which was driven by the increase in gold prices and the wedding season. However, categories targeting local consumption performed weaker, with a significant drop in sales for automobiles, possibly due to maintenance in mainland China, and a slight decrease in sales for fruits and furniture. Lo stated that with no public holidays in November, local residents are more likely to spend in Hong Kong, which has a positive impact on the retail industry. November is not traditionally a peak season for retail consumption, but this year is different with the East Asian Games being held in Guangdong, Hong Kong, and Macau. Hong Kong is hosting some events, attracting 180,000 visitors through various ports, an increase of over 100,000 from the same period last year, benefiting the consumption market in Hong Kong. As for the retail sales in December, Lo mentioned that the situation is evolving due to the serious situation in Tai Po. Currently, efforts are focused on assisting affected residents and carrying out post-disaster work. The estimation for sales in December will need to be reevaluated.