Month: August 2026

Source: Hong Kong Government special administrative region

Source: Hong Kong Government special administrative region

     Further to the external merchandise trade statistics in value terms for June 2026 released earlier on, the Census and Statistics Department (C&SD) released today (August 13) the volume and price statistics of external merchandise trade for that month.

     In June 2026, the volume of Hong Kong’s total exports of goods and imports of goods increased by 34.3% and 27.5% respectively over June 2025.      
     Changes in the unit value and volume of total exports of goods by main destination are shown in Table 1.

Source: Hong Kong Government special administrative region – 4

The Census and Statistics Department (C&SD) released today (August 11) the results of the Monthly Survey on Business Situation of Small and Medium-sized Enterprises (SMEs) for July 2026.

The current diffusion index (DI) on business receipts amongst SMEs decreased from 44.0 in June 2026 in the contractionary zone to 43.8 in July 2026, whereas the one-month’s ahead (i.e. August 2026) outlook DI on business receipts was 46.8. Analysed by sector, the current DIs on business receipts for a number of surveyed sectors dropped in July 2026 as compared with previous month, particularly for the import and export trades (from 45.4 to 44.5) and retail trade (from 41.7 to 40.8).

The current DI on new orders for the import and export trades decreased from 46.4 in June 2026 to 45.0 in July 2026, whereas the outlook DI on new orders in one month’s time (i.e. August 2026) was 47.1.

Commentary

A Government spokesman said that business sentiment among SMEs remained cautious in July, with the current and outlook diffusion indices on business receipts for SMEs edging down slightly. The overall employment situation also softened marginally. Persistent uncertainty over the developments in the Middle East led businesses to adopt a more guarded assessment of the near-term outlook. 

Looking ahead, continued solid growth of the Hong Kong economy should provide some support to business confidence and business activity. Nevertheless, the evolving situation in the Middle East is still a main downside risk, as any further escalation could weigh on external demand, market confidence, operating costs, and investment decisions. The Government will remain vigilant and closely monitor the evolving external environment.

Further information

The Monthly Survey on Business Situation of Small and Medium-sized Enterprises aims to provide a quick reference, with minimum time lag, for assessing the short-term business situation faced by SMEs. SMEs covered in this survey refer to companies with fewer than 50 persons engaged. Respondents were asked to exclude seasonal fluctuations in reporting their views. Based on the views collected from the survey, a set of diffusion indices (including current and outlook diffusion indices) is compiled. A reading above 50 indicates that the business condition is generally favourable, whereas that below 50 indicates otherwise. As for statistics on the business prospects of prominent companies in Hong Kong, users may refer to the publication entitled “Report on Quarterly Business Tendency Survey” released by the C&SD.

The results of the survey should be interpreted with care. The survey solicits feedback from a panel sample of about 600 SMEs each month and the survey findings are thus subject to sample size constraint. Views collected from the survey refer only to those of respondents on their own companies rather than those on the respective sectors they are engaged in. Besides, in this type of opinion survey on expected business situation, the views collected in the survey are affected by the events in the community occurring around the time of enumeration, and it is difficult to establish precisely the extent to which respondents’ perception of the business situation accords with the underlying trends. For this survey, main bulk of the data were collected around the last week of the reference month. 

More detailed statistics are given in the “Report on Monthly Survey on the Business Situation of Small and Medium-sized Enterprises”. Users can browse and download the publication at the website of the C&SD (www.censtatd.gov.hk/en/EIndexbySubject.html?pcode=B1080015&scode=300).

Users who have enquiries about the survey results may contact Industrial Production Statistics Section of the C&SD (Tel: 3903 7246; email: sme-survey@censtatd.gov.hk).

Source: Hong Kong Government special administrative region – 4

     The Transport Department (TD) announced today (August 11) that a pilot licence for autonomous vehicles (AVs) has been issued to approve an AV trial between Hong Kong West Kowloon Station of the Express Rail Link (XRL) and Kowloon Station of the Airport Express, in accordance with section 4(1) of the Road Traffic (Autonomous Vehicles) Regulation (Cap. 374AA).

     The trial involves four private cars operating in autonomous mode, routeing through Wui Man Road, Jordan Road, Nga Cheung Road, Station Perimeter Road South, Station Perimeter Road East and Station Perimeter Road North. During the trial, a backup operator will be stationed in the vehicle at all times to take over control of the vehicle when necessary. The TD’s pilot AV labels must be displayed on all pilot AVs for identification by other road users. Details of the pilot licence have been uploaded to the TD’s website on AV trials.

     A spokesman for the TD said that the Government has been promoting the development of AVs in an active and orderly manner through a multipronged approach by providing policy support, regulatory backing and financial subsidy. This project will demonstrate the safety, stability and operational feasibility of AV technologies in an environment with high passenger flows and complex traffic dynamics. By successfully operating within such a multimodal transport hub, the project will establish an extensible operating mode that will serve as a cornerstone for integrating the AV fleet into the wider public transport network in future.

     Once the AVs commence regular operation, they will establish a seamless and autonomous driving connection between Hong Kong West Kowloon Station of the XRL and Kowloon Station of the Airport Express. This will provide travellers with a convenient choice to further enhance their travel experience, thereby attracting more travellers to use the XRL and the Hong Kong International Airport, the spokesman added.

     Driving and road safety remain the Government’s top priorities. The Government will draw on practical experience to refine technical standards, share research findings with the industry in a timely manner, and implement initiatives to promote AVs in a prudent and orderly manner. Chaired by the Commissioner for Transport, the Autonomous Vehicle Applications Promotion Working Group will, in collaboration with relevant departments and the industry, review the progress of each AV project; provide steer on the trial locations, vehicle types and licensing arrangements required to support the commercial development of AVs; and explore appropriate regulatory arrangements to allow AVs to provide a certain degree of commercial services in specific areas on an individual pilot basis.

     The TD welcomes interested organisations or enterprises to submit applications for a pilot licence for AVs. Upon receipt of an application, the TD will consider various factors, including the operational design domain and functions of the autonomous driving system, relevant national or international standards/guidelines, and the road testing conditions, based on the Code of Practice for Trial and Pilot Use of Autonomous Vehicles, before granting approval.

Source: Hong Kong Government special administrative region – 4

Two incoming passengers were sentenced to two months’ imprisonment with a fine of $1,000 and three months’ imprisonment with a fine of $1,000 respectively by the West Kowloon Magistrates’ Courts yesterday (August 10) for possessing duty-not-paid tobacco and failing to declare them to Customs officers, in contravention of the Dutiable Commodities Ordinance (DCO).

Customs officers intercepted two incoming local female passengers, aged 18 and 36, at Hong Kong International Airport on June 3. A total of about 23 kilograms of duty-not-paid cigars and 15 grams of manufactured tobacco, with a total estimated market value of about $841,000 and a duty potential of about $100,000 in total, were seized from their personal baggage. They were subsequently arrested.

Customs welcomes the sentences. The custodial sentences have imposed a considerable deterrent effect and reflect the seriousness of the offences.

Customs reminds members of the public that under the DCO, tobacco products are dutiable goods to which the DCO applies. Any person who deals with, possesses, sells or buys duty-not-paid tobacco commits an offence. The maximum penalty upon conviction is a fine of $2 million and imprisonment for seven years.

Members of the public may report any suspected illicit cigarette activities to Customs’ 24-hour hotline 182 8080 or its dedicated crime-reporting email account (crimereport@customs.gov.hk) or online form (eform.cefs.gov.hk/form/ced002).

Source: Hong Kong Government special administrative region – 4

Two incoming air passengers were each sentenced to 10 months’ imprisonment by the West Kowloon Magistrates’ Courts today (August 12) for dealing with duty-not-paid cigarettes, in contravention of the Dutiable Commodities Ordinance (DCO) (Cap. 109).

Hong Kong Customs has been mounting a special enforcement operation to combat illicit cigarette smuggling activities involving air passengers. Two Mainland male passengers aged 48 and 39, arriving in Hong Kong from Vientiane, Laos, via Hanoi, Vietnam, were arrested at Hong Kong International Airport yesterday (August 11). A total of about 190 000 duty-not-paid cigarettes, with an estimated market value of about $850,000 and a duty potential of about $627,000, were seized from their personal baggage. 

Customs welcomes the sentences. The custodial sentences have imposed a considerable deterrent effect and reflect the seriousness of the offences.

Customs reminds members of the public and travellers that under the DCO, anyone involved in importing, dealing with, possession of, selling or buying illicit cigarettes commits an offence. The maximum penalty upon conviction is a fine of $2 million and imprisonment for seven years.

Members of the public may report any suspected illicit cigarette activities to Customs’ 24-hour hotline 182 8080, its dedicated crime-reporting email account (crimereport@customs.gov.hk) or online form (eform.cefs.gov.hk/form/ced002). 

Source: Government of the Republic of Korea

Source: Hong Kong Information Services

The Hong Kong Special Administrative Region Government conducted its first large-scale drill at the Huanggang Port Hong Kong Port Area today to prepare for the port’s upcoming official opening.

The exercise mobilised approximately 1,000 civil servants from over 20 departments. It successfully tested the overall management of passenger and vehicular flows at both the port building and the public transport interchange (PTI).

During the drill, participants took various modes of public transport, including franchised buses, short-haul cross-boundary coaches, green minibuses and taxis, to reach the PTI on the second floor of the port building. They then proceeded through the fifth-floor departure hall and the fourth-floor arrival hall before returning to the PTI to leave the port.

Participants and operator-dispatched vehicles conducted cyclical trials involving more than 120 departures to simulate realistic arrival and departure conditions. The trials operations specifically assessed passenger and vehicular flow management, passageway capacity, on-site guidance, traffic control and various supporting facilities.

Secretary for Security Tang Ping-keung and Secretary for Transport & Logistics Mable Chan inspected the drill on-site.

Mr Tang noted that the entire drill flowed smoothly and achieved its expected testing objectives through close interdepartmental co-operation. He added that identified areas for improvement will be addressed in subsequent exercises, with larger drills planned for the future to ensure comprehensive preparation for the port’s opening.

Ms Chan stated that this initial drill primarily tested local and cross-boundary public transport services alongside their ancillary arrangements. She highlighted that passengers boarding, alighting, queuing and traffic management all operated smoothly, delivering a positive passenger experience.

The Transport & Logistics Bureau and the Transport Department will continue to refine these arrangements based on user needs.

A wide range of bureaus, departments and public transport operators took part in the exercise. Participants included the Security Bureau, the Transport & Logistics Bureau, the Civil Service Bureau, the Hong Kong Police Force, the Transport Department, the Highways Department, the Immigration Department, the Hong Kong Customs & Excise Department, the Department of Health and the Fire Services Department.

Also participating were the Architectural Services Department, the Electrical & Mechanical Services Department, the Government Property Agency, the Digital Policy Office, the Office of the Communications Authority, the Food & Environmental Hygiene Department, the Agriculture, Fisheries & Conservation Department, the Civil Aid Service and the Auxiliary Medical Service.

Meanwhile, the Transport Department confirmed it will continue conducting road and facility testing with operators. Ongoing tasks include evaluating transit routes and facilities, training bus drivers and testing traffic diversions – all of which have progressed smoothly.

The Hong Kong SAR Government will continue to run drills of various scales to assess the capacity of the Huanggang Port and its surrounding infrastructure. It remains in close liaison with Shenzhen authorities to press ahead with preparatory tasks, and the governments of Guangdong and Hong Kong will announce the official opening date once the port is fully ready for safe and smooth operation.

Source: Hong Kong Information Services

The Housing Bureau announced today that the latest quarterly Composite Waiting Time for Subsidised Rental Housing (CWT) is 4.8 years, a slight increase of 0.1 years from the previous quarter.

This figure is calculated based on general applicants – family and elderly one-person applicants – who were housed to public rental housing (PRH) or Light Public Housing (LPH) in the past 12 months as at end-June 2026, the bureau explained.

It also highlighted that compared with the highest level of 6.1 years before the current-term Government took office, the CWT has been shortened by 1.3 years. It remains lower than the 2018-25 records, and continues to remain under five years.

In the second quarter of 2026, the bureau arranged about 4,400 general applicants to be housed to PRH or LPH. These units included about 720 newly completed PRH flats, about 2,400 recovered PRH flats, and about 1,300 LPH units.

Among the general applicants housed to PRH and LPH units over the past 12 months, the proportion of those located in urban districts and extended urban districts reached 74%. Moreover, 81% of the recovered PRH units were located in urban districts and extended urban districts.

The waiting time for urban districts and extended urban districts is generally over a year longer than that for the New Territories. When factored into the latest calculation, this resulted in a slight increase of 0.1 years in CWT.

The waiting time for PRH units in the urban districts in the past 12 months was about six years.  

During the same period, the average waiting time of general applicants who were housed to LPH was three years, while the waiting time for LPH units in the New Territories was only about two years.

Over the past 12 months, the Government’s overall supply of PRH and LPH has risen to about 7,400 units per quarter, which is around double the average quarterly supply of 3,800 units during the three years before the current-term Government took office.

As at end-June 2026, there were about 100,500 general applications for PRH, and about 81,000 non-elderly one-person applications under the Quota & Points System. Compared with the highest level of 156,400 cases and 143,700 cases of general applications and non-elderly one-person applications, the number of applications decreased significantly by over 30% and over 40% respectively.

Among them, the number of non-elderly one-person applicants aged below 30 recorded an even sharper decline of about 60% over the 10-year period, from about 71,500 at end-June 2016 to about 29,500 at end-June 2026. The bureau said this clearly shows that the PRH waiting queue is being reduced.

For the next five years from 2026-27 onwards, the overall public housing production, including subsidised sale flats, PRH and LPH, will be about 196,000 units, around 85% higher than when the current-term Government took office. About 115,000 PRH flats will be completed, reaching the peak in supply.

In respect of LPH, about 19,130 units have been completed, among which about 9,650 units have been fully occupied as at the second quarter of 2026. About 10,670 and 210 units will be successively completed in the remainder of 2026 and early 2027, steadily moving towards the target of completing the construction of about 30,000 LPH units by 2027-28.

The bureau said that, as the PRH applicants who have a longer waiting time are being housed to PRH, the short-term fluctuations in the average waiting time for PRH proved that the Government is effectively tackling the long-standing backlog of waiting cases. The CWT will move towards the target of reducing it to 4.5 years in 2026-27, the bureau added.