DHL Hong Kong Air Trade Leading Index (DTI)
DHL Hong Kong Air Trade Leading Index ("DTI") is a quarterly survey implemented by the Hong Kong Productivity Council ("HKPC"), and commissioned by DHL Express (Hong Kong) Limited ("DHL").
DTI is the first-of-its-kind in Hong Kong, offering publicly available market intelligence for local enterprises, especially SMEs which typically have limited resources or access to information, enabling all to take reference from a comprehensive business review of the sector in which they operate.
The Overall Index represents the air trade market outlook for the surveying quarter, in respect of import and (re-)export. The research also studies the underlying trends in business attributes, markets and air-freighted commodities, thus assisting local enterprises in arriving at a primed view of the business outlook of their markets.
DTI - Second Quarter of 2020
Release Date: Apr 27, 2020
REPORT SUMMARY
This quarter’s survey was conducted in early to mid-March 2020, after the COVID-19 moving its epicenter from Mainland China to Europe. As a result, air traders’ outlook on the industry remained cautious, with the index dropping to 23.7 points - lowest since the launch of the report in 2014.
- Air Trade outlook for the quarter fell by 5.5 points to 23.7. Both the indices for Air Imports and Air (Re-) Exports recorded a downward trend, reading at 24.3 points and 23.3 points respectively.
- The survey took place when World Health Organization declared COVID-19 as a pandemic and with few reported infection cases in the US. Air Trade indices dropped in all markets, except Americas, showing air traders then were relatively optimistic towards the America market over other regions.
- The survey for this quarter also assessed the impact of the COVID-19 outbreak on the respondents’ business during February 2020. Here, 68% of them reported a loss when compared with the same period last year, with only 10% making a profit.
- With China lowering the tariffs on US-made goods in February as part of the progressing trade deal, 26% of the respondents viewed this as a positive development to their businesses.
Mr Edmond Lai, Chief Digital Officer of the Hong Kong Productivity Council (HKPC), shared, "Air traders are currently facing the adverse economies and operational difficulties from the COVID-19 outbreak, despite signs of improvement in China-US trade relations during the survey period for this quarter. Already, 68% of them are running at a loss in February, with worsening situation expected in the months that follow as the pandemic engulfs two key export markets - North America and Europe. In this challenging time, HKPC pledges to partner with local businesses to weather the storm, offering assistance to ease their immediate burden, and for them to transit with the most appropriate operating model after the pandemic."
Download the latest report of DTI (PDF version) (Text-only version).
Download of DTI Quarterly Report
Methodology
Index Calculation: Index = [100 x (Percentage of samples responding "Positive") ] + [50 x (Percentage of samples responding "Neutral") ] + [0 x (Percentage of samples responding "Negative") ]
Readings
- Ratios of collected responses are used to form the indices.
- An index value above 50 indicates an overall positive outlook while a reading below 50 represents an overall negative outlook for the surveyed quarter.
- The further the reading is from 50, the more positive or negative the outlook is.
Demographics
- Respondents are Hong Kong-based companies associated with either inbound or outbound air trade. It includes Watches, Clocks & Jewellery, Apparel & Clothing Accessories, Electronic Products & parts, Gifts, Toys & Houseware, Food & Beverage and Others (including courier service and other items which do not belong to the categories listed above).
- Over 600 samples are collected in each quarter.
- Sample companies are randomly selected from publicly available directories.
Disclaimer
This report contains survey result based on research findings. HKPC will not be liable for any loss, mistake, delay, action or non-action by viewers of this report.
Enquiry
For more details about the Index, please contact HKPC at tel. (852) 2788 5306.
