Hong Kong’s retail sales by value rose 12.8 per cent in March from a year earlier, the 11th month of gains, with growth in sales of most broad types of retail outlets, government data showed on Wednesday.

Sales increased to HK$33.9 billion (US$4.33 billion). In February, retail sales rose 19.3 per cent year-on-year.

Sales of motor vehicles showed particularly strong growth, as purchases spiked before the expiry of the first registration tax concessions for electric private cars at the end of March.

In volume terms, March retail sales surged 9.8 per cent from a year earlier, compared with a 17.5 per cent rise in February.

For the first quarter of 2026, the total retail sales value increased by 12.1 per cent from a year earlier, and retail sales volume rose 9.8 per cent year-on-year.

“Looking ahead, the near-term outlook for retail sales is broadly positive, underpinned by recovering local demand, sustained growth in inbound tourism and a favourable macro-financial environment,” a government spokesperson said.

Visitor arrivals in March increased 14 per cent y/y to 4.35 million, data from the Hong Kong Tourism Board showed. The number of Chinese mainland visitors rose 15.9 per cent y/y to 3.19 million.

Sales of jewellery, watches, clocks and valuable gifts rose 27.2 per cent y/y in March after a rise of 24.2 per cent in February.

Sales of motor vehicles and parts jumped 80.8 per cent y/y in March following a 37.3 per cent rise in February.

Sales of clothing, footwear and allied products increased 5.9 per cent y/y in March after a 14.1 per cent rise in February.

• Reporting by Hong Kong newsroom; Editing by Thomas Derpinghaus, of Reuters.