Within this total, re-exports grew 8.3% to $223.2 billion while domestic exports rose 6.5% to $9.1 billion. Concurrently, goods imports grew 10.3% from a year earlier to $259.7 billion in December, after a year-on-year rise of 9.3% in November.

The visible trade deficit for the month was $27.4 billion, equivalent to 10.6% of the goods imports.

The department said despite heightened uncertainty in the trading environment merchandise exports rose further in December with the Mainland and the EU markets continuing to hold up well, while the US market was still soft.

While the trade outlook for the coming quarters is subject to a large degree of uncertainty amid global prospects being overshadowed by the ongoing financial market turmoil and the US economic weakness, the robust growth for many emerging markets like the Mainland should support Hong Kong's export performance.

Yearly performance

For 2007 total goods exports rose 9.2% on 2006. Within this re-exports grew 10.8% but domestic exports fell 18.9% while goods imports rose 10.3%. The year saw a visible trade deficit of $180.5 billion, equivalent to 6.3% of goods imports.

Comparing the last quarter with the preceding three months on a seasonally adjusted basis total goods exports rose 3.8%. Within this re-exports grew 3.9%, domestic exports were up 0.7% and goods imports rose 5.3%.

Compared with a year earlier, December exports to Asia grew 9.4%. Strong growth was recorded in total exports to some major destinations, particularly India (+101.3%), Indonesia (+30.7%), Thailand (+19.8%), Malaysia (+10.6%) and the Mainland (+8.4%).

Growth was also found in non-Asia destinations like the Netherlands (+11.6%) and France (+10.5%). Yet total exports to Taiwan fell 5.2%.

Distinct growth was recorded in imports from most major suppliers, particularly Singapore (+23.5%), the US (+18.6%), Germany (+13.8%) and the Mainland (+9.6%).  Yet imports from South Korea dipped 12.6%.

Import-export growth

Year-on-year increases were registered in total exports to most major destinations last year, particularly the Mainland (+13.2%), the Netherlands (+8.2%), Germany (+7.2%) and France (+6.7%). Imports from most major suppliers also rose, particularly Singapore (+18.2%), the Philippines (+17.0%), the US (+12.3%) and the Mainland (+11.5%).

December saw distinct growth in total exports of most principal commodities, particularly telecommunications and sound recording and reproducing apparatus and equipment, which grew $9.1 billion or 27.9%. Electrical machinery, apparatus and appliances, and electrical parts also grew $5.9 billion or 12.2%.

Imports of many principal commodities also rose significantly, particularly electrical machinery, apparatus and appliances, and electrical parts, which grew by $8.4 billion or 14.7%. It was followed by telecommunications and sound recording and reproducing apparatus and equipment (+$5.8 billion or 18.1%) and miscellaneous manufactured articles consisting mainly of baby carriages, toys, games and sporting goods (+$4.1 billion or 28.9%).

For 2007 as a whole significant year-on-year increases were also found in total exports of electrical machinery, apparatus and appliances, and electrical parts (+$97.5 billion or 17.6%) and telecommunications and sound recording and reproducing apparatus and equipment (+$73.4 billion or 20.2%).

Over the same period of comparison imports of most principal commodities also grew significantly year-on-year, particularly electrical machinery, apparatus and appliances and electrical parts (+$112.1 billion or 17.8%) and miscellaneous manufactured articles consisting mainly of baby carriages, toys, games and sporting goods (+$49 billion or 31.4%).