(To watch the video with sign language interpretation, click here.)

Secretary for Commerce & Economic Development Edward Yau today expressed worries over the impact of the China-US trade dispute’s next phase on the Hong Kong economy.

Speaking to reporters after meeting with representatives of major chambers of commerce and associations of small and medium enterprises, Mr Yau said the impact of the trade dispute should not be underestimated. 

“In the earlier estimate last year when we were talking about the initial phase of 25% US tariff imposed on some of the Chinese products, at that time, some economists were estimating that the impact on Hong Kong's GDP would range from 0.1 to 0.2%.

“But as a matter of fact, Hong Kong's economy suffered a stronger hit.”

He added the new wave of tariffs would cause collateral damage. 

“Talking about the new wave of heightened tariffs and a wider coverage, the direct impact might be smaller than the initial phase. 

“But the indirect impact, the collateral damage, will certainly be no less than last time because we are now talking about a total coverage of all the commodities and also very inhibitive tariffs imposed on each other. I think that would be our worry.”