The International Monetary Fund projected global economic growth of 3.3% in 2025.

The Chinese Mainland economy grew by 4.8% in 2024, with predicted growth rate of 4.6% for 2025 through the help of fiscal policy and accommodative monetary policy in boosting domestic demand and stabilising economic growth.

The prevailing uncertainty in trade policies escalated the global trade tensions, and is expected to negatively impact international trade flows and investment sentiment. Nonetheless, the continued steady growth of the Chinese Mainland economy is expected to support various economic activities in Hong Kong.

Hong Kong economy experienced solid growth in the first quarter of 2025, with the real Gross Domestic Product (GDP) increased by 3.1% compared to the same period last year. For 2024 as a whole, the value of total exports of goods increased by 8.7% over 2023 and the value of imports of goods increased by 6.0%. A visible trade deficit of $379.7 billion was recorded in 2024. Total exports of goods showed accelerated growth due to sustained external demand, while the exports of services continued to rise, supported by an increase in visitor arrivals and other cross-border economic activities.

Increased outbound travel by Hong Kong residents, including trips to other cities in the Chinese Mainland and overseas, resulted in rising outflow of local consumer spending.

Conversely, Hong Kong showed an increase of 31% in visitor numbers in 2024. In 2024, the total overnight tourism revenue in Hong Kong decreased compared to 2023. Tourists are increasingly seeking more immersive and unique experiences, often opting for shorter stays and spending less on luxury goods.

The reduction in local consumption creates a challenging environment for the merchandise trading industry, prompting businesses to adapt strategies to maintain profitability and sustainability.

Hong Kong’s e-commerce market is rapidly expanding, driven by the region’s distinct advantages. The convenience offered by e-commerce businesses, such as broader selections of goods on one-stop platforms, competitive pricing, improved logistics & global reach, further enhance its appeal. Social media integration, including KOL marketing and live commerce, has further fueled consumers’ desire to purchase online.

The 14th Five-Year Plan for the National Economic and Social Development and the Long Range Objectives Through the Year 2035 has laid down a plan for the development of e‑commerce during the 14th Five‑Year Plan period. By 2035, e-commerce is projected to be a major driver of the Chinese Mainland's economic and technological advancements, facilitating efficient resource allocation and becoming a crucial component of the Chinese Mainland's modern economic system.

The Government continued to enhance Hong Kong’s economic ties with the Chinese Mainland and foreign economies, by visiting several Chinese Mainland cities and international markets to promote Hong Kong’s business advantages and opportunities.

An inter-departmental E-commerce Development Task Force has been established to support Hong Kong's small and medium enterprises (SMEs) in expanding their e-commerce presence in the Chinese Mainland.

To develop Hong Kong into a cross-border electronic commerce (e-commerce) logistics and distribution centre, the Government will review existing procedures to enhance the efficiency of cross-border goods' distribution. This initiative will tie in with various support measures for assisting SMEs in developing the Chinese Mainland and the Association of Southeast Asian Nations (ASEAN) e-commerce markets.

The Chief Executive announced the formation of the Working Group on Developing Low-altitude Economy in the 2024 Policy Address, with key initiatives including the Regulatory Sandbox, Legislative Enhancements, Low-altitude Infrastructure Planning and Greater Bay Area Corridor. It is believed that the Low-altitude Economy has significant potential for widespread application across various industries and provide a boost to Hong Kong’s economy.

To maintain Hong Kong's trade competitiveness and logistics hub status, the Government is developing a Trade Single Window to provide a one-stop electronic platform for the trading community to lodge import and export trade documents. The implementation of the Trade Single-window will save time and costs for traders and boost cargo clearance efficiency in Hong Kong through improvement of document submission processes among relevant government departments and the trade sector.

Sustainability is increasingly influencing the business landscape in Hong Kong, driven by a shift in consumer behavior and expectations. Modern consumers are more aware of environmental issues and prefer brands that demonstrate a commitment to sustainability. This trend encourages businesses to adapt their marketing strategies and product offerings, focusing on eco-friendly materials, ethical sourcing, and sustainable packaging.

Cybersecurity has become a critical concern for businesses worldwide, particularly in the rapidly growing e-commerce sector. In 2024, The Hong Kong Computer Emergency Response Team Coordination Centre (HKCERT) handled 12,536 security incidents, with phishing making up more than half of these cases, representing a 108% increase from 2023.

To build a secure e-commerce environment that fosters consumer confidence, companies are increasing their budgets on cybersecurity, focusing on advanced technologies such as artificial intelligence and machine learning to combat threats. The need for effective cybersecurity also leads to a demand for trained personnel capable of managing these challenges.