Violent shocks exceeded the economic scourge
Hong Kong’s two-month continuous demonstrations have turned into violent shocks, which have caused the retail industry to fall into a harsh winter. According to the latest figures released by the Census and Statistics Department, the retail sales figures in June fell by 6.7% year-on-year. Jewellery, watches and clocks and valuable gifts fell by 17.1%, electrical appliances fell by 16.1% and clothing fell by 8.2%. The Hong Kong Retail Management Association said that the anti-reforms have evolved into a series of violent shocks that have affected Hong Kong. The impact on the economy has surpassed the illegality of 2014. The business of individual businesses has plummeted by 70% to 80%. Some employers have considered layoffs. Or suspend the expansion of the branch; the wages of wage earners under the commission system are reduced by one-third, and family pressure is greatly increased. The association believes that the decline will continue in July, and there will even be a double-digit decline in the second half of the year.
The retail sales figures in Hong Kong fell for five months. In June, the total retail sales value fell by 6.7%
The decline was much higher than expected, causing a cumulative decline of 2.6% in the first half of the year. According to the classification of goods, jewellery, watches and clocks and valuable gifts fell the most, reaching 17.1%, the worst in the past three years; the value of electrical goods sold was 16.1%, and clothing was down 8.2%. In terms of daily necessities, the decline was relatively low. Drugs and cosmetics fell 4.1%, while supermarkets rose slightly by 1.6%.
Jewelry watches fell 17% the most devastating
The spokesman said that the decline in retail sales in June has widened. The data reflects that local consumer sentiment is more cautious. The number of visitors to Hong Kong has slowed down. It is expected that short-term retail sales will remain weak. If large-scale demonstrations continue, it will further drag down retail business. The government will pay close attention to it.
Xie Qiuyi, chairman of the Hong Kong Retail Management Association, pointed out that in five weekends in June, retail sales still fell by 6.7% year-on-year, reflecting the impact of Sino-US trade wars and demonstrations. She described the demonstrations that often evolved into violent shocks to the whole territory. The situation is worse than the outbreak of the “occupation of China” period in 2014. “The year was only the road, affecting individual areas, now spreading different areas, and even affecting shopping malls. Merchants.”
Mr. Xie Qiuyi quoted members as saying that the business of the tourist area fell by no less than 30% to 50%, and some merchants even fell by 70% to 80%. Some members also carefully studied the store expansion plan, slowed down the pace of opening stores, or temporarily stopped opening stores. She believes that the decline in July continued. In the second half of the year, there will continue to be a double-digit decline, and the government is expected to effectively resolve the incident as soon as possible. For netizens to launch the National People’s Congress strike on Monday (5th), Xie Qiuyi called on members to maintain good communication with employees and handle them in a balanced manner.
The Legislative Council’s wholesale and retail trader, Mr Stephen Siu, pointed out that the Government has not announced the retail sales figures for July. I believe that in the three or four weeks, the decline in certain industries has reached an alarming 30%. This shows that the retail industry in Hong Kong is constantly changing. The violent demonstrations have plunged into a harsh winter, and frontline staff, especially those who need to provide housing and raise their children, are under pressure. He called on the society to calm down and stop doing things that provoke social opposition and differentiation. Otherwise, Hong Kong will continue to fight, and the victims will only be Hong Kong people themselves.
Mr. Mai Cui-cai, associate professor of finance and decision-making at the Hong Kong Baptist University, believes that political events may cause overseas visitors to worry about whether Hong Kong is still safe. Even if local residents feel that there is no problem, passengers may have another view. If the violence continues, it will be affected. The status of Hong Kong as a tourist centre is not conducive to the Hong Kong economy.