Although the tax burden is low and state finances are solid, freedom is restricted to ensure political stability. The economy is set to underperform peers, but inflation is very low and foreign investors continue to flock to the territory. High incomes and an urban landscape will support consumption, but low-income classes are predominant. Innovation is being driven by significant state investment and the mobile market enjoys high subscription rates, but cyberattacks have risen dramatically.

Hong Kong’s real GDP growth slowed to 2.5% in 2024, below the regional average, though GDP per capita stayed high. Export growth, led by machinery and electronics, rose by 9.1%, offsetting weaker private consumption. Inflation is projected to ease to 1.6% in 2025, with monetary policy kept cautious to balance stability and growth. Despite strong exports in 2024, the outlook has dimmed as global uncertainty deepens and US protectionist tariffs intensify.

In 2024, couples with children were the most common household type in Hong Kong, driven by traditional family values and high housing costs that limit family expansion. Over 2024-2029, the number of households is forecast to grow by 7.0%, with single person households rising by 21.6%, reflecting a trend of delayed marriage and independent living. The birth rate is forecast to remain low, although with a slight rise over the period to 2029, reflecting the city’s ageing population and economic pre

In 2024, Hong Kong led the Asia Pacific region in terms of average gross income, propelled by robust labour productivity and a 2% increase in real wages. Yet, growth in per capita disposable income decelerated to 0.9%, and income disparity persisted, with the lowest 10% of earners claiming a mere 0.5% of the total. Over the forecast period, the consumer market is anticipated to expand by 10.5%, with outlays on hospitality and dining establishments driving the growth.

2025 is seeing low growth for cheese in Hong Kong in terms of retail value sales as the market stabilises after several years marked by intense price wars and heightened consumer sensitivity to costs. The competitive landscape has forced many brands to engage in aggressive discounting strategies, which have put downward pressure on unit prices. However, despite these challenges, cheese is showing signs of resilience, with local consumers are still willing to consume its products.

Retail value sales of drinking milk products in Hong Kong are experiencing consistent growth in 2025, largely driven by an increasing emphasis on health benefits - particularly the popularity of lactose-free options. During the pandemic, CP-Meiji has played a pivotal role in introducing lactose-free products to the market, effectively raising consumer awareness about the availability and advantages of lactose-free milk.

Value sales of baby food are rising in Hong Kong in 2025, though growth is somewhat curbed by a slowdown in product development amid ongoing economic uncertainty. The high cost of living significantly impacts baby food and milk formula, affecting both consumer behaviour and spending patterns.

Other dairy products in Hong Kong is recording only marginal growth in 2025 as stagnation sets in amid increasing health and wellness awareness among local consumers. Traditionally, these products have been favoured for their convenience and their ability to enhance the taste and texture of various foods and beverages. Cream, for example, has long been a staple in cooking and baking, while coffee whiteners have provided an easy way to achieve a creamy texture in coffee and other drinks. However,

Value sales of yoghurt and sour milk products in Hong Kong continue to rise robustly in 2025, reflecting an increasing consumer focus on health and wellness. This trend is particularly driven by a growing emphasis on probiotics and digestive health. Since the pandemic, there has been a significant shift in consumer awareness, as many individuals have become more informed about the benefits of probiotics and their role in promoting gut health.

In 2024, total confectionery packaging retail volumes in Hong Kong experienced growth of 4%, reaching 431 million units. This upward trend was supported by key categories such as boxed assortments, chocolate confectionery, sugar confectionery, and gum, which continued their positive momentum from previous years. Sustained demand for indulgent snacks, premium gifting options, and convenient pack sizes suited for on-the-go consumption drove growth. Furthermore, strong retail activity and product i

Total baby food packaging retail volumes in Hong Kong rose by 7% in 2024 to reach 8.4 million units, driven by steady growth across dried baby food, milk formula, prepared baby food, and other baby food. This moderate increase reflected sustained demand for convenient, nutritionally balanced options tailored to the needs of modern parents and caregivers. Despite significant challenges in milk formula, which experienced weakening growth due to a shift in purchasing behaviour among Mainland China

In 2024, total processed fruit and vegetables packaging retail volumes in Hong Kong declined by 1% to 40 million units, continuing the downward trend observed in the previous year. The primary driver behind this decline was the reduced demand for both shelf stable and frozen processed fruit and vegetables, which continued to lose appeal as consumers shifted away from home cooking. As consumers increasingly dined out, returned to office routines, and travelled, the preparation of meals at home de

In Hong Kong, total dairy packaging retail volumes reached 418 million units in 2024, representing 3% growth, primarily driven by the rising demand for drinking milk products, particularly cow's milk, and yoghurt. The strong alignment of these categories with the consumer preferences for nutritious and natural products led to increased household penetration. The demand for packaging was further supported by the rising use of practical and protective formats, such as high-density polyethylene (HD

Butter and spreads in Hong Kong is seeing solid growth in terms of retail value sales in 2025, driven by rising emphasis on health and wellness among consumers. As more people become health conscious, many are reevaluating their dietary choices, leading to a resurgence in the popularity of butter. This shift is partly due to the perception that butter is a more natural and wholesome option compared to alternatives like margarine or various cooking oils, which often contain artificial ingredients

In 2024, total processed meat and seafood packaging retail volumes in Hong Kong declined by 2% to 71 million units, continuing its downward trend across the chilled, frozen, and shelf stable formats. This decrease was primarily attributed to consumer preference shifting towards healthier and more sustainable food options, with many consumers opting for fresh over processed products. Notably, younger demographics exhibited a heightened demand for clean-label, minimally packaged foods. Regulatory

Total sweet spreads packaging retail volumes rose by 2% in Hong Kong in 2024, reaching 12 million units. Growth was driven by key categories such as honey, and nut and seed-based spreads. Honey maintained its solid upward trend in packaging volumes, supported by its natural positioning and versatility across food, beverage, and wellness applications. The packaging volumes of nut and seed based spreads also rose, with the popularity of such products driven by their perceived health benefits and a

Overall retail value sales of dairy products and alternatives in Hong Kong continue to rise in 2025, notwithstanding the ongoing challenges of high living costs and economic uncertainty. Several factors are driving this upward trend – for example, the influx of new immigrants from mainland China, which is boosting demand for dairy products and alternatives.

Plant-based dairy in Hong Kong is seeing continued strong and solid growth in terms of value sales in 2025, with leading player Vitasoy playing a pivotal role in establishing plant-based dairy alternatives - particularly soy milk. Vitasoy is a long-established local brand in Hong Kong.

In 2024, total plant-based dairy packaging retail volumes in Hong Kong rose by 2% to reach 227 million units. This growth was driven by increasing consumer adoption of plant-based milk as a healthier and more sustainable alternative to traditional dairy milk. Rising awareness of environmental and health concerns associated with dairy consumption, combined with shifting lifestyle preferences, fuelled this trend. Notably, the popularity of oat milk significantly contributed to this expansion, with

In 2024, total sauces, dips and condiments packaging retail volumes in Hong Kong decreased by 1% to 106 million units. This decline reflected a broader slowdown in retail demand. Notably, packaging volumes for recipe sauces and herbs and spices experienced significant drops, continuing their downward trend. The primary drivers behind this decline were increased consumer mobility and the resurgence of dining out, resulting in less time and need for home meal preparation. Furthermore, growing cros

In 2024, total meals and soups packaging retail volumes in Hong Kong declined by 1% to 69 million units, maintaining the decline seen the previous year. This downturn was primarily driven by a continued decrease in soup packaging volumes, as consumer demand for packaged soup softened. In addition, within ready meals, dried and shelf stable ready meals, and frozen pizza experienced reductions in packaging volumes, reflecting shifts in consumer preferences and potential saturation. Conversely, fro

In 2024, Hong Kong’s Business Confidence Index fell by more than two times, partly driven by China’s economic slowdown. However, confidence is expected to rebound by 82.3% in 2025 as businesses adjust. Despite regulatory uncertainty, exports continued to drive the economy, accounting for 143% of GDP, with machinery and electronic equipment remaining the leading export category.

In 2024, video games in Hong Kong returned to growth after a year of decline, outperforming the regional average. The rise of subscription services and cloud gaming has made gaming more accessible to those who are looking for space-saving solutions. Mobile games continues to dominate, with hyper-casual games remaining popular. The competitive landscape is fragmented, but it benefits from government support and serves as a stepping stone for Chinese games looking to reach Western audiences.

In 2024, toys and games in Hong Kong experienced an increase in value sales, largely due to the growing popularity of video games and the kidult phenomenon. Cloud gaming emerged as a solution to space constraints, and well-known brands enjoyed a resurgence. The transition to online retail has necessitated more robust e-commerce strategies. The competitive landscape become less concentrated, with the top five companies holding lower value share overall.