Hong Kong Luxury Sales Strengthen in June

Sales of hard-luxury goods in Hong Kong rose further in June amid economic expansion, higher salaries and an increase in inbound tourists.

Revenue from jewelry, watches, clocks and valuable gifts jumped 20% year on year to HKD 5.49 billion ($699.9 million) for the month, the municipality’s Census and Statistics Department reported Tuesday. The luxury segment recorded its 14th straight month of growth. Sales across all retail categories increased 5% to HKD 31.49 billion ($4.02 billion).

The government expects steady growth to continue across all retail outlets, it said.

“The sector remains on a positive trajectory,” a government spokesperson explained. “Growth was broad-based across many retail categories. Continued economic expansion, rising local incomes, and a steady increase in inbound visitors are expected to provide support to the sector.”

However, “external uncertainties” could affect growth, the spokesperson added, noting that the government will continue to closely monitor any impacts on the local consumption market.

In the first half, revenue from hard-luxury products rose 25% to HKD 31.07 billion ($3.96 billion), while sales in all retail categories gained 10% to HKD 203 billion ($25.88 billion).

Image: The Causeway Bay shopping area in Hong Kong. (Shutterstock)