Export target raised amid AI boom: HKTDC

The Trade Development Council substantially raised its annual forecast for export growth to between 42 percent and 47 percent on Monday, citing stronger-than-expected global demand for artificial intelligence-related technologies. The council made a forecast of 20 percent growth in June. "Demand for semiconductors, memory chips, computer components, telecommunications equipment and other advanced electronics expanded much faster than expected, providing substantial support to Hong Kong's exports," director of research Bruce Pang said. Exports of electronics rose by 52.8 percent in the first eight months of this year, accounting for approximately 80 percent of the city's total, the council said. Pang said recent developments in China-US relations also helped improve the trade environment, reducing the risk of further tariff escalation in the coming months. "Together with the continued strength of global demand for technology products, these developments should help underpin Hong Kong's export performance in the months ahead," he added. Edited by Edmond Fong