May sales of luxury goods fell 3.2% year on year in Hong Kong, even as overall retail rebounded during the month.
Revenue from jewelry, watches, clocks and valuable gifts totaled HKD 3.87 billion ($493.1 million) in May, the municipality’s Census and Statistics Department reported Wednesday. That compares to a decline of 1.7% the previous month. Sales across all retail categories grew 2.4% to HKD 31.32 billion ($3.99 billion).
The luxury goods category was one of only a small percentage that recorded a decline in May. The drop occurred amid rising gold prices that deterred many consumers from purchasing jewelry. It also stems from an overall downturn in demand for luxury products on the mainland and increased outbound tourism in Hong Kong that saw residents shopping overseas as opposed to domestically.
Hard-luxury sales slid 9% year on year to HKD 20.27 billion ($2.58 billion) for the first five months of 2025. Sales in all categories dipped 4% to HKD 155.05 billion ($19.75 billion) for the same period.
“While the retail sector continues to adapt to the changes in consumption patterns, the government’s proactive efforts in promoting tourism and mega events, in tandem with the increase in employment earnings and sustained steady growth of the mainland economy, will help bolster consumption sentiment and support the consumption market,” a government spokesperson said.
Image: A shopping district in Hong Kong. (Shutterstock)
