#eCommerce

International shipping to Hong Kong

Carmen Yip
Carmen Yip
8 min read
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International shipping to Hong Kong

The city of Hong Kong is known for its mature and rapidly growing e-commerce market. With its free port status and easy customs clearance process, it offers a favorable environment for businesses to thrive. Understanding e-commerce growth, market trends, and consumer buying habits is essential for successfully tapping into this market.

By leveraging these insights, Japanese businesses can better navigate the import process into Hong Kong and understand consumer trends and behaviour. Read on to position your business for success in this vibrant market. 

E-commerce opportunities and advantages

Hong Kong's e-commerce market offers great opportunities for international e-commerce businesses. Its strong domestic consumption and retail sales growth, ease of doing business and setting up a secure supply chain attracts sellers from all over the world. With reliable delivery providers like DHL who understand the market and its unique geography, e-commerce players, small businesses and SMEs can enjoy hassle-free shipping to customers. Door-to-door delivery and tracking provides convenience and satisfaction to Hong Kong's savvy end customers, who demand the highest quality service and goods.

8.93% e-commerce growth

8.93% e-commerce growth

Hong Kong’s already mature e-commerce market and total revenue is set to continue growing between 2023 and 2028 (8.93% CAGR).[1]

8.2% of total retail spend (January 2023)

8.2% of total retail spend (January 2023)

An untapped opportunity or a slow-growth market? Hong Kong lags behind similarly wealthy economies when it comes to e-commerce, as a share of total retail sales. Only around 8-12% of its retail spend is online [2]. Compare this to the world’s leading e-commerce markets, with China's online spend at 47%, Indonesia at 31.9%, and the UK at 30.6% [3].

Spending power is growing steadily

Spending power is growing steadily

Hong Kong's average revenue per e-commerce user (ARPU) is expected to be USD$1,381 in 2024[4].

Hong Kong's sustainability-focused and mobile-first customers

61% will pay more for sustainability

61% will pay more for sustainability

Consider marketing your business and products as environmentally or socially conscious! Like in many developed societies, Hong Kong could be a receptive market. Research shows that 61% of Hong Kong's shoppers are willing to pay more for sustainable products [5].

Mobile comes first

Mobile comes first

57% of online transactions in Hong Kong in 2021 took place on mobile[6]. The market is set to grow further, driven largely by app-based social commerce, which is particularly popular with younger consumers[7].

What do shoppers in Hong Kong buy online?

Leading product categories amongst consumers (as of September 2022)8

* % of surveyed households who had bought from the product category in the previous 6 months 

Where do Hong Kong consumers shop online?

Online marketplaces can be a helpful gateway for cross-border businesses wishing to sell to a new country for the first time.

Leading marketplaces in Hong Kong, as of October 20239

  1. taobao.com
  2. carousell.com.hk
  3. amazon.com
  4. hktvmall.com
  5. price.com.hk

Which countries do e-commerce users in Hong Kong buy from the most?

Around 25% of Hong Kong’s e-commerce transactions are cross-border, likely due to the island’s relatively small size. Sellers from mainland China are the most popular shopping destination (taking 37% of the market share), followed by the US (21%). Japanese businesses also do very well with Hong Kong e-commerce, standing third at 16%10.

Shopping holidays and cultural trends

Hong Kong has a unique cultural blend of Chinese and Western influences. Festivals like Chinese New Year, Mid-Autumn Festival, and Christmas Eve are widely celebrated. E-commerce players can leverage these cultural trends, as well as online shopping events like Double 11 (Singles' Day) and Black Friday, to promote their products. Packaged snacks and beverage products, as well as gifts, soar during these high-demand peak seasons, a strong opportunity for Japanese businesses to leverage.

Import controlled commodities in Hong Kong

Certain commodities in Hong Kong are subject to import controls, and importers must provide corresponding import permits for customs clearance. These controlled commodities include animals and plants, controlled chemicals, dangerous drugs, dutiable commodities, food, infectious goods, pharmaceutical products and medicine, radio transmitting equipment, strategic commodities, hazardous chemicals, and alternative smoking products.

It is crucial to obtain the required import permits in advance to ensure smooth clearance. Working with experienced transport providers like DHL ensures that your business is strongly positioned to import into Hong Kong smoothly.

Hong Kong's import regulations and customs clearance

Hong Kong has relatively simple import regulations, with only four types of dutiable commodities requiring import duty

  • Tobacco​​
  • Hydrocarbon oil​​
  • Methyl alcohol​​
  • Alcoholic drinks with a strength of 30%​ or more

Some commodities, such as medicine, rice, and egg products, require an import permit before shipment arrival. It is essential to familiarize yourself with the import regulations and secure necessary permits for smooth customs clearance. Regulated items include food, chemicals, hazardous materials, and drugs, among others. 

Hong Kong customs trade declarations 

In Hong Kong, customs clearance does not require a broker service. Typically, the forwarder or carrier, such as DHL, handles the import customs clearance on behalf of the customer, ensuring ease of international trade.

However, importers and exporters need to lodge a trade declaration within 14 days of importation or exportation. The Census and Statistics Department provides detailed information on import and export declarations and their completion and lodgment processes. Leave it in the hands of international shipping experts for simplified customs procedures, with as little hassle as possible.

DHL's insider tips for exporting to Hong Kong

Tips for successful e-commerce in Hong Kong

In this section, DHL's expert on Hong Kong exports and shipping provides you with the insight and advice you to sell in this key market.

  • Compared to other countries, Hong Kong offers easy customs clearance for general goods. However, restricted goods like drugs, food, telecommunications equipment/strategic commodities and livestock require special attention. It is important to note that Hong Kong does not use postal codes, relying on the accuracy of the address input from end customers. To ensure seamless delivery, DHL and other logistics providers may clarify the delivery address with the consignee to avoid any ambiguity.
  • You can find the correct HS code for your shipment easily via DHL’s  MyGTS (My Global Trade Services) – a free, user-friendly platform that will help you navigate all aspects of international shipping. This includes calculation of Landed Cost for goods in any country – i.e. your product cost, duties & taxes, and freight charges – enabling you to enhance your pricing strategy and give your customers transparency over shipping fees. 

 

Online consumer preferences and payment methods

Hong Kong consumers have embraced digital channels for buying luxury goods, clothing, accessories, electronics, and lifestyle products. Many retailers in the Hong Kong market operate both online and offline to attract customers and enhance the shopping experience. In a market saturated with international brands, artisanal and unique boutique sellers, such as many of Japan's small and independent fashion brands, tend to stand out to consumers.

Credit card payment is widely accepted, with rewards linked to credit card use, such as cashback and air miles programs. Digital wallets like AliPay, WeChat Pay, Tap & Go, and Octopus are also popular payment methods.

Delivery preferences

Door-to-door delivery is the preferred method in Hong Kong, followed by options like leaving the package with a neighbor or collecting it from a service point or locker. Businesses should consider these preferences and ensure reliable and convenient delivery options for their customers.

Feeling inspired and ready to sell to Hong Kong? First stop – open a DHL Express Business Account for expert international shipping advice and competitive rates.

Apply for an account today