EMERGING ECONOMIES

The worst of the double whammy that has severely disrupted Hong Kong’s exports over the past two years – the China-US trade dispute and the Covid-19 outbreak – seems to be gradually abating. While local businesses still have to contend with weakened global demand, disrupted supply chains and elevated protectionism, it is now expected that Hong Kong’s exports may rally in 2021, recovering by 5% year-on-year, albeit from a relatively low base. More

Despite the more accommodating monetary conditions prevailing in the major economies and intermittent signs of easing Sino-US trade tension, the spread of protectionism into broader economic and geopolitical arenas suggest there will be no quick fix in the Sino-US dispute, nor in a number of other trade-related confrontations. Against this backdrop, HKTDC Research forecasts that the value of Hong Kong’s exports will decline by 2% in 2020. More

The global economy may encounter increasing uncertainties and slower growth in the year to come. While the world’s cyclical economic recovery may warrant an optimistic outlook over the short-term, there is also an awareness that rising trade protectionism and geopolitical friction may undermining long-term growth. According to the HKTDC Export Index, 51% of exporters expect their sales to increase or remain unchanged over the coming year. More