HK Stock Market Move | China Tourism Group Duty Free Corporation (01880) surged by more than 3% on the first day of Hainan's border closure. The amount of duty-free shopping on the island increased by 61% year-on-year.

China Tourism Group Duty Free Corporation (01880) opened more than 3% higher, and as of the time of writing, it has risen by 3.68%, reaching 73.3 Hong Kong dollars, with a turnover of 3.775 million Hong Kong dollars. On the news front, on December 19, Haikou Customs released statistics showing that on December 18, the day Hainan Free Trade Port officially closed the whole island, the amount of duty-free shopping in Hainan reached 161 million yuan, with 24,800 shopping trips and 118,000 items purchased, all of which saw year-on-year increases of 61%, 53.1%, and 25.5% respectively. According to Sanya Daily, on the first day of closing, Sanya's duty-free sales performance was impressive, with total duty-free sales reaching 1.18 billion yuan in the city. Industrial believes that the opening of new duty-free shops in urban areas in Q3-Q4 has led to an increase in duty-free traffic and the realization of full customer coverage. At the same time, the optimization of duty-free policies in outlying islands, ports, and urban areas has further expanded the radius of store coverage, expanded customer base, increased sales range and categories, and simplified some approval processes, providing additional sales increment. The current duty-free sector has a relatively good chip structure, the fundamentals are showing a bottoming and rebounding trend, and there are still policy incentives for future growth.