Jewelry sales in Hong Kong have taken another hit, with November 2024 sales dropping by 5.4%, although the decline slowed compared to October’s 11.6% drop. The statistics from the Hong Kong government reveal a consistent downward trend in the luxury goods market, exacerbated by shifting consumer habits and the strength of the Hong Kong dollar.
For the year 2024 (January to November), jewelry sales plummeted by 14.7%. In general, retail sales for November dropped by 7.3%, while the overall figure for January to November showed a 7.1% decline.
The government suggests that consumers are redirecting their spending to other categories, with the strong Hong Kong dollar potentially further hurting the retail sector. A government spokesperson stated, “Looking ahead, shifts in consumer behavior, particularly from travelers and residents, will continue to affect retail performance.”
On a more positive note, the Chinese government’s initiatives to stimulate the mainland economy and benefit Hong Kong, such as the expansion of the “one signature, multiple visits” visa for Shenzhen residents, alongside local measures to boost the local market atmosphere and rising incomes, are expected to help lift consumption from both tourists and local residents.